US consumer inflation slows in November, up 7.1% year-on-year

WASHINGTON - US consumer inflation eased in November, bringing some relief to policymakers, according to government data released.

Officials are closely eying the monthly inflation report for signs that painfully high consumer prices have begun moderating at last, as surging costs of living force households to dip into their savings.

The consumer price index (CPI), a closely-watched measure of inflation, jumped 7.1 percent from a year ago, down from 7.7 percent in October, according to Labor Department figures.

That was the smallest year-on-year increase over the past 12 months.

But the overall number is still about three times the pre-pandemic pace.

Prices ticked up 0.1 percent from October to November, a smaller-than-expected increase after a prior 0.4 percent jump, the latest data showed.

Meanwhile, core prices, which exclude the volatile food and energy segments, rose 0.2 percent in November as well, down from a 0.3 percent pick-up in October.

"The index for shelter was by far the largest contributor to the monthly all items increase, more than offsetting decreases in energy indexes," the Labor Department said in a statement.

While an improvement from before, the data likely reinforces official views that costs remain far too high, and Fed officials are poised to push on in their quest to cool the world’s biggest economy.