CPI Report Today: The U.S. Consumer Price Index (CPI) report for January 2026, released today at 8:30 a.m. Eastern Time, showed headline inflation falling to 2.4% year on year, below December’s 2.7% and the 2.5% expectation. Core CPI, excluding food and energy, fell to 2.5% yearly, the lowest level since March 2021, bolstering predictions that the Federal Reserve will begin decreasing interest rates in the coming months.
CPI Report Today: What drove the January inflation slowdown?
Monthly headline CPI rose 0.2%, below the 0.3% forecast. Energy prices fell 0.1% annually, with gasoline dropping 7.5% and fuel oil declining 4.2%. Food inflation has eased to 3.1% per year, with eggs down 7% and pork chops down 4.1% weekly. Canned veggies experienced the greatest monthly rise, at 5.5%. Shelter inflation slowed to 3% year-over-year, down from 3.2% in December. Used car and truck prices fell 2% annually.
CPI Report: Who is most affected by the cooling inflation data?
Consumers benefit from falling gasoline and grocery prices. Investors responded positively, with the S&P 500 rising 0.7% and Nasdaq climbing 0.6% in early trading. The 10-year Treasury yield slipped to its lowest intraday levels since early December.
CPI Report Today: What does this mean for Federal Reserve policy?
| Factor | Implication |
|---|---|
| Current inflation | 2.4% (below 2.5% forecast) |
| March 2026 meeting | Rate pause expected (3.50%–3.75%) |
| May 2026 odds | 90% probability of rate cut |
| Chair transition | Kevin Warsh to succeed Powell in May |
Despite cooling inflation, the Fed cites a strong January jobs report and sticky core services for cautious stance.
How did India’s CPI change with the new base year?
The adjustment to the 2024 base year (2024=100) is the most major upgrade to India’s Consumer Price Index since 2012. According to the Ministry of Statistics and Programme Implementation (MoSPI), the new series more accurately reflects modern consumption trends by increasing the item basket and adjusting category weights.
Key Structural Changes:
- Reduced Food Weight: Food & Beverages weight cut to 36.75% (down from 45.86%) to reduce headline inflation volatility
- Expanded Housing: Housing category weight increased to 17.67% (up from 10.07%), now includes water, electricity, gas, and rural house rent
- Wider Item Basket: Total items rose from 299 to 358
- New Items Added: OTT subscriptions (Netflix, Amazon Prime), airpods, exercise equipment, cleaner fuels like CNG/PNG
- Obsolete Items Removed: VCR/DVD players, audio cassettes, radios
- Modernised Data Collection: Price data collected via tablets from 1,465 rural markets, 1,395 urban markets, and 12 online marketplaces
CPI Report Today: India Inflation Comparison: January 2026
| Category | New Series (Base 2024) | Old Series (Base 2012) |
|---|---|---|
| Inflation | 2.75% | 2.55% (linked) |
| Core Inflation | 3.4% | 4.15% |
| Food Inflation | 2.13% | Not directly comparable |
The 20 basis point difference in headline inflation is attributed to methodological shifts and the revised consumption basket.
CPI Report Today: U.S. CPI Components: January 2026
| Category | Annual Change (YoY) | Monthly Change (MoM) | Details |
|---|---|---|---|
| All Items | 2.4% | +0.2% | Overall cooldown; lowest since May 2025 |
| Core CPI | 2.5% | +0.3% | Lowest annual core rate since March 2021 |
| Shelter | 3.0% | +0.2% | Decelerated from 3.2% YoY |
| Energy | -0.1% | -1.5% | Gasoline -3.2% MoM, Fuel Oil -5.7% MoM |
| Food | 2.9% | +0.2% | Cereals/Bakery +3.1%, Dairy -0.3% |
| Used Cars & Trucks | -2.0% | -1.8% | Significant downward pressure |
| Apparel | 1.7% | +0.3% | Linked to tariff pass-through |
Inflationary Outliers:
- Airline Fares: +6.5% monthly
- Technology Goods: Computers +3.1%, Audio/Video +2.2% monthly
- Tobacco: +8.5% annually
- Personal Care: 5.4% YoY (up from 3.7% in December)
CPI Report Today: U.S. vs. India CPI: January 2026 Comparison
| Metric | U.S. | India |
|---|---|---|
| CPI (YoY) | 2.4% | 2.75% |
| Previous Month | 2.7% (Dec) | 1.33% (Dec) |
| Core CPI (YoY) | 2.5% | 3.4% |
| Food Inflation | 2.9% | 2.13% |
| Energy Inflation | -0.1% | Embedded in new weights |
What is the outlook for future reports?
Next U.S. CPI report (February) is scheduled for Wednesday, March 11, 2026, at 8:30 AM ET. India’s new series is expected to produce structurally softer prints due to reduced food weight. Economists at Kotak Mahindra expect RBI to hold rates through 2026 as the new series provides a benign trajectory within the 2%–6% tolerance band.
CPI Report Today: Frequently Asked Questions
Q. What time was the CPI report released today?
A. The U.S. CPI report for January 2026 was released today, February 13, 2026, at 8:30 AM Eastern Time (7:00 PM Indian Standard Time).
Q. Why was there no October 2025 CPI report?
A. There was no October 2025 CPI news release due to a federal government shutdown from October 1 to November 12, 2025. The Bureau of Labor Statistics could not collect survey data for the October reference period, and data from September was carried forward to calculate subsequent months.
Q. How did the stock market react to today’s CPI data?
A. U.S. stock indexes rose following the report, with the S&P 500 gaining 0.7% and the Nasdaq climbing 0.6% in early trading. Investors viewed the lower-than-expected headline figure as a sign that inflation is returning to the Federal Reserve’s target.
Q. What changed in India’s new CPI series?
A. India’s new Base 2024=100 series rebalanced weights, reduced Food & Beverages share to 36.75% from 45.86%, enlarged the item basket to 358 including services and online products, included rural housing rent, and incorporated e-commerce price data from 12 online markets.
Q. When is the next U.S. CPI report?
A. The next U.S. inflation report, covering February 2026, is scheduled for release on Wednesday, March 11, 2026, at 8:30 AM Eastern Time.
Disclaimer: This post is not financial advise; it is being written for informative reasons only.
