Fed’s inflation gauge heats back up

(CNN)– The federal reserve’s preferred inflation gauge heated up again in the final month of 2024.

The Personal Consumption Expenditures Price Index rose 2.6% year-over-year in December.

That’s up from November’s 2.4%.

The increase which was in line with economists’ expectations was driven largely by rising energy and food prices.

However, a closely watched measurement of underlying inflation trends indicated some progress in the fight to rein in price hikes.