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November CPI Rises 2.7%, Sparks Rate Cut Hopes

12/20/2025

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Story summary
  • The Consumer Price Index rose 2.7% annually in November, below the 3% forecast.
  • This is the first CPI release since the government shutdown, with October data not collected.
  • Core inflation, excluding food and energy, was 2.6%, and analysts warn the shutdown may distort the figures.
  • The stock market reacted positively, with investors pricing in a January rate cut.
  • Despite lower food prices, some items remain costly and affordability concerns persist.