December Inflation Hits 2.9%, Driven By Rising Energy And Food Costs

Inflation rose in December, with the Consumer Price Index (CPI) increasing 0.4% for the month and 2.9% year-over-year, the highest since July 2024. Energy costs, especially gasoline, and rising food prices contributed to the uptick. Core prices, excluding food and gas, rose 0.2% monthly and 3.2% annually. Following the data, stocks saw a rise. Jeffrey Small, President of Arbor Financial, joins Alicia Summers to discusses the impact of these numbers on consumers, the potential for rate cuts in 2025, and alternative strategies to address inflation.