Consumer Price Index Rises 0.2% Monthly, Annual Increase Slows To 2.4%, Core Inflation Holds Steady At 2.5%
Friday, February 13, 2026, 10:20 A.M. ET. 3 Minute Read, By Haylee Ficuciello, Economy & Finance Editor: Englebrook Independent News,
WASHINGTON, DC.- In its latest release on Friday morning, the Bureau of Labor Statistics (BLS) reported that inflation continued to moderate as the U.S. economy entered 2026. According to the BLS, the Consumer Price Index (CPI), the government’s broadest measure of inflation tracking the cost of everyday goods and services such as gasoline, groceries, and rent, rose 0.2 percent on a seasonally adjusted basis in January 2026.
On a year-over-year basis, consumer prices increased 2.4 percent, down from 2.7 percent in December 2025, marking the slowest annual CPI increase since May 2025.
Headline And Core Inflation Metrics;
According to the BLS January report:
- Overall CPI (All Items): increased 0.2 percent month-over-month (seasonally adjusted)
- CPI Year-Over-Year: rose 2.4 percent, down from 2.7 percent in December
- Core CPI (excluding food and energy): increased 0.3 percent in January
- Core CPI Year-Over-Year: slowed to 2.5 percent, down slightly from 2.6 percent in December
Both the monthly and annual CPI figures came in below economists’ expectations. Analysts polled by LSEG had forecast a 0.3 percent monthly increase and a 2.5 percent annual rise. Core inflation figures met expectations.
Food Prices
The BLS reported that food prices rose modestly during January:
- Food index: increased 0.2 percent
- Food at home (groceries): rose 0.2 percent
- Food away from home (restaurants): increased 0.1 percent
On a 12-month basis, the food index rose 2.9 percent, with restaurant prices up 4.0 percent year over year.
Energy Prices
Energy costs provided downward pressure on inflation:
- Energy index: declined 1.5 percent in January
- Gasoline prices fell 3.2 percent for the month
- Energy prices year-over-year: down 0.1 percent
- Gasoline prices year-over-year: down 7.5 percent
The decline in gasoline prices was the single largest contributor to the cooling headline inflation rate.
Shelter And Core Components
Shelter costs, the largest CPI component, continued to rise but at a moderated pace:
- Shelter index: increased 0.2 percent in January
Additional price increases were recorded in:
- Airline fares
- Medical care services
- Personal care
- Recreation
These increases were partially offset by price declines in:
- Used cars and trucks
- Motor vehicle insurance
What The Data Signals;
The January CPI report reinforces a clear trend: inflationary pressures are easing but have not fully normalized. While inflation remains above the Federal Reserve’s long-term 2.0 percent target, the continued deceleration from late 2025 into early 2026 suggests the U.S. economy is transitioning into a more stable price environment.
The core inflation rate, which strips out volatile food and energy prices and is closely monitored by policymakers, remained contained at 2.5 percent, indicating underlying inflation pressures are moderating rather than accelerating.
Financial markets responded calmly to the report, with investors interpreting the data as supportive of economic stability heading into the spring.
Economic Outlook;
Based on my 19-month analysis of inflation data and broader economic indicators, the January CPI report supports the conclusion that the U.S. economy is stabilizing and positioned for gradual improvement as it moves into the second quarter of 2026.
Moderating inflation, easing energy costs, and slowing shelter price growth collectively point toward a healthier economic balance following several years of elevated price pressures. While inflation remains a concern for households and policymakers alike, current trends indicate a slower, steadier inflation trajectory that could reduce financial strain on consumers and businesses in the months ahead.
Editor’s Note:
The analysis contained in this article is based on Haylee Ficuciello’s 19-month economic analysis of inflation trends and macroeconomic indicators. This commentary reflects the author’s professional interpretation of publicly available data and does not constitute financial or investment advice. All data is drawn from the January 2026 Consumer Price Index report.
