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Inflation is at 2.7 percent: What this means for you, according to experts

KANIKA SINGH RATHORE, 19/12/202519/12/2025

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a key report This was revealed in a release on Thursday inflation Decline after increase in November august And September,

consumer price IndexInflation, a metric that measures changes in prices paid by consumers for goods and services, was 2.7 percent in November, up from 3.0 percent in September.

What does this mean for your wallet right now? Atsi Sheth, chief credit officer at financial analysis firm Moody’s Ratings, said the message is mixed.

“What the CPI means for consumers is that year-over-year increases for food, energy and shelter may be down from peaks, but they’re not actually declining,” Sheth said. Independent by email. “So, with the cost of living still high, affordability concerns are rising, especially among low-income households.”

Thursday’s report provided mixed signals, with October’s CPI data missing as the recent government shutdown has cut funding for the report.

Many goods and services were more expensive in November than a year earlier, but egg prices fell 13.2 percent

Many goods and services were more expensive in November than a year earlier, but egg prices fell 13.2 percent ,getty images,

As a result, it is difficult to know the month-on-month changes that are key to understanding short-term movements of inflation.

Main food prices increased

While overall inflation was lower than in September, food prices in several key sectors rose compared with a year earlier. Staple foods such as meat, frozen seafood, grains and rice, flour, coffee and bread are more expensive than in November 2024:

  • Raw ground beef: +14.9 percent
  • Frozen Fish and Seafood: +11.6 percent
  • Coffee (roasted and instant): +18.8 percent
  • Flour: +2.2 percent
  • Breakfast Cereal: +2.4 percent
  • Bread: +1.7 percent
  • Rice: +1.1 percent
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Growth was also seen in other areas of daily life. Gas increased 0.9 percent, electric and utility gas service increased a combined 7.4 percent, audio equipment increased 10.2 percent, used cars and trucks increased 3.6 percent, and rentals increased 3 percent.

Katie Klingensmith, chief investment strategist at wealth management firm Edelman Financial Engines, said some key goods are more expensive year over year, even as overall inflation has declined, which could be offset by the impact of tariffs on the way companies price their products.

“Despite low year-over-year inflation, households are facing higher baseline prices for goods, as companies have only recently (within the past few months) begun to pass on tariff-related costs to final consumers,” Klingensmith said. Independent In an email.

Ground beef prices rose 14.9 percent in November, according to Thursday's CPI report.

Ground beef prices rose 14.9 percent in November, according to Thursday’s CPI report. ,Copyright 2025 The Associated Press. All rights reserved.,

Prices of eggs, peanut butter fall

Although some key areas of consumers’ daily expenses increased, some notable price declines occurred. egg prices, which is increased Over the past few years, and in many ways, it has been the inflation bellwether, falling by 13.2 percent year-on-year.

Several other grocery items also saw steep declines:

  • pork chops: -6.3 percent
  • Oranges (including tangerines): -4.8 percent
  • peanut butter: -4.6 percent
  • butter: -4.4 percent
  • Citrus fruits: -4.3

Additional areas affecting the day-to-day of the average consumer were scattered across categories of goods and services. Propane, kerosene and firewood declined 5.9 percent, utensils and flatware also declined 5.9 percent, and boys’ and girls’ shoes declined 3.4 percent.

Smartphones and TVs were 9.4 percent and 7.3 percent cheaper year-on-year, respectively, a decline that may have been driven by Black Friday and Cyber ​​Monday sales.

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