This Week In The Economy: US Consumers See Higher Food, Fuel Prices, Uptick in Spending To End 2024

Welcome to a regular snapshot review of U.S. and international economic news that aims to 1) provide a window into the challenges and decisions facing businesses today, 2) determine the direction of economic policy — such as the speed at which central banks decide to raise interest rates, and 3) assess what the impact will be for consumers.

U.S. Consumers Hit By Higher Gasoline, Food Prices At The End Of 2024

The Bureau of Labor Statistics this week published new data showing a surge in energy and food price inflation in December, even as the cost increases for less volatile consumer goods rose at a slower pace compared to November.

The Consumer Price Index rose by 0.4% last month, after rising 0.3% in November. Over the last 12 months, the all items index increased 2.9%.

Energy prices rose 2.6% in December, “accounting for over forty percent” of the CPI’s rise. Gasoline prices, in particular, jumped by 4.4% over the month. Food…