Thanks to a sharp decline in energy costs, inflation at the consumer level rose just one-tenth of a percentage point, seasonally adjusted, in February, the U.S. Labor Department reported on March 16. In January, the CPI has risen seven-tenths of a percentage point. Energy, however, remains the fastest increasing CPI component, increasing at a compound annual rate of 6.3% for the three months ending in February of this year.
The core CPI, which omits the often-volatile month-to-month changes in food and fuel prices, increased just one-tenth of a percent in February. For the three months ending in February, the core CPI increased at a compound annual rate of just 2%.