US inflation eases to 6.5% in December, S&P 500 and Dow climbs after report
Inflation at the close of 2022 managed to stay at %6.5 according to latest consumer price index.
The cost of living decreased by 0.1% in December 2022, compared to a rise of 0.1% in November 2022, according to the most recent consumer price index (CPI) data. The Bureau of Labor Statistics reports that the annual rate of inflation has managed to ease, falling to 6.5% from 7.1%.
This was the lowest level since October 2021 and a significant decrease from the 9.1% recorded in June, despite remaining close to a multi-decade high.
Core inflation stood at 5.7 percent. Thus, inflation has entered a downward trend for 6 months.
Inflation figures are decisive for the Fed's interest rate policy. Although the expectations that the FED would increase interest rates by 25 basis points came to the fore at the meeting in March 2022, the changes in the prices in question after the data announced today will also have an impact on the direction of the markets.
After the December CPI report have shown the cooling inflation rate, Dow Jones Industrial Average gained 247 points (0.7%) whereas S&P 500 rose around %0.5.
