U.S. core consumer prices drop for first time in 27 years

cpi drops for first time in 27 years
cpi drops for first time in 27 years

Those concerned that the ultra-cheap money brought about by rock-bottom rates at the Fed could lead to rampant inflation can hyperventilate a little less after today's report that core consumer prices actually dropped for the first time in 27 years in January, down 0.1%.

After including fuel and food, which are more erratic, the U.S. Dept. of Labor's Consumer Price Index (CPI) for All Urban Consumers still went up only a modest seasonally-adjusted 0.2%. This translates into a yearly rate of 2.6%, not adjusted for seasonality.