Entering 2025, models from forecasting companies like Trading Economics anticipate inflation rates between 2.4% and 2.9% between the end of 2024 and the start of 2026. Unfortunately, actually predicting inflation can be difficult, as rates can be affected by a variety of factors, including political climates and supply-chain interruptions.

And all this productivity is why wage growth keeps beating inflation, said Betsey Stevenson, a professor of economics at the University of Michigan. “Real wage growth has to come from productivity growth. Because we’re doing more with less, we get more in the end,” she said.

This article was originally published on WealthyVC.com. Core inflation in the US cooled more than expected in December, sparking optimism about the Federal Reserve’s path for interest rates in 2025. The Consumer Price Index (CPI),

Progress on inflation should stall this year” as fiscal, immigration and trade policies shift, caution Bank of America economists.

Here are five numbers on inflation and how its impacting ASCs in 2025: 2.9%: The Consumer Price Index increase, also known as inflation, for December 2024, the most recent available data by the Bureau of Labor Statistics. Inflation rose .4% from November to December 2024. 3.2%: The increase in inflation year over year, as of December 2024.

Newly released federal inflation data shows that prices rose last month. The U.S. Bureau of Labor Statistics on Wednesday released its Consumer Price Index, a key marker of inflation, which jumped 0.4% in December,

Inflation is a hot topic of conversation. The past few years, consumers have been digging even deeper into their pockets for everything from groceries and car insurance to rent and mortgage payments.

The better-than-expected data sent the blue-chip Dow Jones Industrial Average surging more than 700 points, or 1.7%, as investors felt renewed confidence that the Fed will cut rates multiple times this year. In recent trading, fed-fund futures showed the chances of more than one cut rising to 46%, from 35% on Tuesday, according to CME Group data.

The path of inflation proved bumpier than expected in December, with price growth picking up more than economists had forecast. The consumer price index climbed 2.9% year over year in December, according to data released Wednesday by the Bureau of Labor Statistics.

There are growing concerns about the stickiness of inflation and fears that the Federal Reserve may have to keep interest rates restrictively high for longer.

President Joe Biden will leave the White House with a strong economy, historic gains in the job market, a foundation for future manufacturing growth, and having brought down decades-high inflation without triggering a recession.

The Consumer Price Index rose 2.9 percent from a year earlier, but a measure of underlying inflation was more encouraging.