Analysis: US CPI growth in December was slightly higher than expected, and the Fed is not expected to cut interest rates in January

Odaily Planet Daily News: The U.S. CPI rose slightly more than expected in December due to rising costs for energy products, indicating that inflation is still rising, which is consistent with the Fed's expectations of a smaller rate cut this year. The U.S. overall CPI rose 0.4% month-on-month in December and 2.9% year-on-year; the core CPI rose 0.3% month-on-month for four consecutive months and 3.2% year-on-year. Efforts to bring inflation back to the Fed's 2% target encountered obstacles in the second half of last year. A strong economy, threats of broad tariffs on imported goods, and large-scale deportations of undocumented immigrants have also prompted the Fed to expect smaller rate cuts this year. In addition, Trump has also promised tax cuts, which will stimulate the economy; consumers' inflation expectations soared in January, and households are worried that tariffs will increase commodity prices. The Fed is not expected to cut interest rates in January. (Jinshi)