WASHINGTON, D.C. — Today, the Bureau of Labor Statistics announced that inflation, as measured by the consumer price index (CPI) on all items, increased by 2.7% for the 12 months ending in November, a decrease from 3.0% in September and below expectations.
December data confirm the annualized rate of inflation is below the year-earlier pace, showing that prices are right on track.
Core inflation, which excludes volatile energy and food prices, fell, increasing at a pace of 2.6% year over year in November after increasing by 3.0% in September.
Prices for everyday Americans continue to fall. Over the last two months, prices for groceries, dairy, fruits and vegetables, toys, prescription drugs, clothing, airfares, natural gas, car and truck rentals, and hotels all declined as average gas prices plummeted to multi-year lows. Rent inflation is at its lowest since October 2021.
Wage growth remains strong under President Trump. Real average weekly wages increased by 0.8%. Private sector workers are on track to see their real wages rise by $1,300 in President Trump’s first full year of his second term as they earn back the purchasing power lost under the Biden administration. Wage increases are largest among blue-collar workers, with annualized real earnings growth up $1,800 for construction workers and $1,600 for manufacturing workers.
Carrie Sheffield, senior policy analyst for Independent Women’s Center for Economic Opportunity, issued the following statement:
“America continues to enjoy a robust economy, including moderating inflation, thanks to President Trump’s leadership.
“The latest inflation data shattered economists’ expectations once again, with core inflation—often called the best measure of inflation—at its lowest level in nearly five years.
“Inflation is down, gas prices are down, the deficit is down, and wages are up. The rate of inflation is down about 70% from its Biden-era peak as government employment drops, showing that government spending is not the solution for enduring prosperity.
“Additionally, President Trump and members of Congress this year passed renewed tax and other economic reforms in the One Big, Beautiful Bill Act, which will improve wage growth and ensure families keep more of their hard-earned money. We look forward to seeing these efforts bear fruit and continue to ease inflation for American families in the months ahead.”
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Independent Women’s Center for Economic Opportunity (CEO) aims to educate the public about how government policies impact people’s opportunities for economic development and upward mobility.
