U.S. inflation accelerated last month as the cost of groceries, gasoline and rents rose, a disappointment for families and businesses struggling with higher costs and likely underscoring the Federal Reserve's resolve to delay further interest rate cuts.

The price of eggs rose 15.2% from December to January on a seasonally adjusted basis and 53% from January 2024 to last month as bird flu ravages the national supply of eggs. That helped boost the CPI’s food at home annual inflation sub-index to 1.9%, its highest reading since October 2023.

Inflation heated up more than expected in January, as prices for groceries, housing and energy all picked up for Americans in early 2025, potentially complicating President Donald Trump’s agenda.

U.S. inflation accelerated last month as the cost of groceries, gas, and used cars rose, a trend that will likely underscore the Federal Reserve’s resolve to delay any further interest rate cuts.

Inflation rose to 3% in January, its highest rate for six months, and above the 2.9% expected by economists. Price rises for food and energy both helped drive up the overall rate of price increases. The rise comes weeks after the US central bank decided to hold interest rates,

U.S. inflation accelerated last month as the cost of groceries, gasoline and rents rose, a disappointment for families and businesses struggling with higher costs and likely underscoring the Federal Reserve's resolve to delay further interest rate cuts.

U.S. consumer prices increased more than expected in January, reinforcing the Federal Reserve's message that it was in no rush to resume cutting interest rates amid growing uncertainty over the economy.

A key government report showed inflation in the United States rose 0.5% in January, much more than expected. The January Consumer Price Index for January was released on Wednesday morning. The predictions were that inflation would come in at 0.