Trump says inflation data shows Fed can cut interest rates
Consumer prices climbed 2.7% annually in December, marking the end of a year of continued concerns about affordability for Americans.
The Consumer Price Index for All Urban Consumers increased 0.3% on a seasonally adjusted basis in December, the U.S. Bureau of Labor Statistics reported Tuesday. Over the last year, the all items index increased 2.7%.
Excluding food and energy, the index rose 2.6% over the last year. The energy index increased 2.3% for the year. The food index increased 3.1% over the last year.
“Overall, a mild inflation report for December,” said Heather Long, the chief economist for Navy Federal. “This is encouraging news for the economy.”
U.S. House Budget Chairman Jodey Arrington, R-Texas, said the report confirm’s GOP policies are working.
The White House said the report showed Trump had tamed inflation with tariffs and tax cuts.
“Yet another report confirms that President Trump has defeated the inflation crisis inherited from the Biden Administration, while so-called ‘experts’ continue to be proven wrong month after month,” White House press secretary Karoline Leavitt said. “President Trump’s powerful tariffs, massive tax cuts for working families, and sweeping deregulatory agenda have positioned our economy for a boom in 2026. Americans are already seeing the results: workers’ wages are rising rapidly, trillions in investments are flowing into the country to create good-paying jobs, and economic growth is accelerating.”
Trump said the report proves that the Federal Reserve should cut benchmark interest rates.
“That means that Jerome ‘Too Late’ Powell should cut interest rates, MEANINGFULLY!!!,” Trump wrote in a social media post Tuesday morning.
However, the Justice Department’s criminal probe into Powell’s testimony before Congress about a renovation project could delay action from the Federal Reserve, experts said after Powell announced the criminal probe publicly on Sunday.
Last week, Trump announced that the federal government would purchase $200 billion in mortgage bonds to lower interest rates and monthly payments.
Isolated Showers And Thunderstorms then Showers And Thunderstorms
Latest News Stories
Will County P&Z: Manhattan Township Rezoning Approved
Will County P&Z: Green Garden Township Rezoning Approved Amid Concerns Over Lack of a Final Plan
Zoning Commission Overrules Staff, Approves Greeen Garden Twp Variance for 3-Acre Agricultural Lot
Texas House passes Congressional redistricting bill after absconding Dems return
Department of Education ends support for political activism
Illinois trucker warns foreign firms faking logs, dodging rules, risking safety
Illinois law mandates pharmacies to sell needles, sparking safety debate
Report warns U.S. national debt predicted to pass $53 trillion by 2035
Courts remain firm against unsealing grand jury records from Epstein trial
White House TikTok garners 1.3 million views in 24 hours
Newsom responds to Bondi’s letter on sanctuary policies
U.S., NATO military officials discuss Ukraine security guarantees
