US Core CPI Unexpectedly Slows to 2021 Low, Easing Inflation Fears

• US core CPI rose 2.6% in November, marking the slowest annual pace since early 2021.
• This indicates a significant easing of underlying inflation after months of stubborn price pressures.
• The overall CPI climbed 2.7% in November from a year ago.
• A federal government shutdown complicated October data collection, affecting month-over-month comparisons.
• Despite data caveats, the report offers hope for easing inflationary pressures; markets reacted positively.

Why It Matters: US core inflation eased unexpectedly in November, offering hope for a broader slowdown in price pressures.