U.S. annual consumer prices increase less than expected in November
The November U.S. Consumer Price Index rose 2.7% year-over-year, below forecasts, with data gaps from a 43-day government shutdown complicating inflation trend analysis.
- The Labor Department reported the Consumer Price Index rose 2.7% year over year in November in a Dec. 18, 2025 release delayed from Dec. 10.
- The 43-day government shutdown canceled the October CPI release by preventing data collection, delaying the November report.
- Core inflation readings showed Core CPI rose 2.6% year over year in November while shelter increased 3% and prices rose 0.2% in the Sep–Nov period.
- The cooler CPI reading boosted bets that the Federal Reserve's easing cycle can stay on track into 2026, and investors pushed Treasury yields lower, with the 2-year and 10-year yields moving down.
- With missing data and tariffs in play, import taxes have added roughly 0.7 percentage points to inflation, complicating the Federal Reserve's January 2026 meeting as unemployment rose to 4.6%.
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US CPI Inflation Undershoots Estimates; Data Distortion Risk Due to Government Shutdown: ICICI Bank
Get latest articles and stories on Business at LatestLY. US consumer price inflation rose below market expectations in November, though concerns remain over data accuracy due to disruptions caused by the government shutdown, according to ICICI Bank Global Markets Research. Business News | US CPI Inflation Undershoots Estimates; Data Distortion Risk Due to Government Shutdown: ICICI Bank.
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