By CountingPips.com
U.S. Consumer Prices increased in December for a sixth straight month as rising gasoline prices boosted the index higher, according to a report released today by the U.S. Department of Labor. The Consumer Price Index, a key measurement of inflation, increased by 0.5 percent in December following an increase of 0.1 percent in November.
The annual rate of consumer prices rose by 1.5 percent when compared to December 2009 following an annual increase in November by 1.1 percent.
Rising gasoline prices contributed to 80 percent of the increased inflation for the month as the report showed that gasoline prices rose by 8.5 percent. Gasoline prices had increased by just 0.7 percent in November.
The core inflation reading, excluding volatile food and energy prices, edged higher by 0.1 percent for the month and matched the market forecasts. The annual rate of core inflation increased by 0.8 percent for December following an increase of 0.8 percent in November.
Food prices increased by 0.1 percent for the month while overall energy prices rose by 4.6 percent after an increase of just 0.2 percent in November.