The Consumer Price rose 0.3% on a monthly basis in February and held steady at 2.4% on a year-over-year basis, according the Bureau of Labor Statistics.
The CPI is a broad measure of how much everyday goods such as rent costs, gasoline, and groceries. The BLS said that the annual figure was unchanged from January, while the monthly gain was slightly higher than last month’s 0.2% reading.
Both figures were in line with the expectations of economists polled by LSEG, Fox Business said.
So-called core prices, which exclude volatile measurements of gasoline and food to better assess price growth trends, were up 0.2% from the prior month and rose 2.5% from a year ago, BLS reported. Those figures were in line with economists’ expectations.
The monthly core CPI figure was slightly cooler than January’s 0.3% reading. The annual figure was unchanged from last month.
Data Collection Interruptions
Fox Business reported that economists noted that inflation data from December 2025 through April 2026 will be affected because of data collection interruptions resulting from last fall’s 43-day government shutdown.
High inflation has created severe financial pressures in recent years for most U.S. households, Fox reported, which are forced to pay more for everyday necessities such as food and rent. Price hikes are particularly difficult for lower-income Americans, because they tend to spend more of their already-stretched paychecks on necessities and have less flexibility to save, Fox reported.
BLS reported that food prices rose 0.4% in February and were up 3.1% from a year ago. The food at home index was up 0.4% for the month and 2.4% from last year, while the food away from home index rose 0.3% on a monthly basis and is 3.9% higher than a year ago.
Monthly price increases for each category rose from 0.2% in January, according to the BLS.
Housing prices increased 0.2% in February and are up 3% from last year, as the BLS said that the shelter index was the largest factor in the overall monthly CPI increase. Tenants’ and household insurance prices were little changed and up just 0.1% in February, but have risen 6.2% in the last year.
Household furnishings increased 0.2% for the month and 3.9% in the last year, the BLS said. Furniture and bedding prices were flat for the month but have increased 4.2% from a year ago. Prices for appliances rose 3.1% in February but are up 2.9% from a year ago.
“Before the war in Iran sent gas prices spiking, inflation was starting to look a bit better. February’s inflation reading of 2.4% is one of the lowest in the past five years, but it won’t stay that way with gas prices surging above $3.50 a gallon,” said Heather Long, Chief Economist at Navy Federal Credit Union.
Geopolitical Concerns
Ellen Zentner, Chief Economic Strategist for Morgan Stanley Wealth Management, said the current geopolitical conditions could impact the data.
“A steady inflation reading would probably be a welcome data point on any other day, but against the current backdrop of geopolitical uncertainty and surging oil prices, it may not carry as much weight in the markets – or with the Fed,” Zentner said. “Despite the prospect of releasing oil reserves, continued uncertainty translates into continued upside risk for oil prices, and that translates into a Fed that will remain cautious about cutting interest rates.”
