Figures signal slowdown in US inflation
The US consumer price index was flat in December, adding to evidence that inflation is slowing and creating space for the Federal Reserve to consider more monetary easing this year.
The CPI stayed flat for a second consecutive month as falling energy costs offset other increases. That compared with expectations of a 0.1 per cent gain. Stripping out fuel and food costs, the “core” CPI rose 0.1 per cent, in line with forecasts.
Federal Reserve policymakers have forecast a slowdown in consumer price inflation as the effect of rising oil prices fades away but confirmation of the downward trend may give it greater confidence to act. The Fed will hold a two-day monetary policy meeting on Tuesday and Wednesday.
“Stores had to discount a lot in the holiday season and there was just not a lot of price pressure,” said Steven Leslie, lead analyst at the Economist Intelligence Unit. He said the year on year price rise of 3 per cent was lower than he had expected. “That’s pretty quiet inflation.”
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A worthless inflation measurement this is and yet they base way too much on it.
No more COLAs for you (do you hear that those on Social Security?). 
