The Consumer Price Index for All Urban Consumers increased 0.2% on a seasonally adjusted basis in February, after rising 0.5% in January, the U.S. Bureau of Labor Statistics reported Thursday. Over the last 12 months, the all items index increased 2.8% before seasonal adjustment.

"Inflation slowed in February after elevated readings over the past three months. Both headline and core prices rose by 0.2% month-over-month, aligning with the Federal Reserve’s target. Core inflation and housing recorded their lowest readings since 2021,” said Dawit Kebede, America's Credit Unions senior economist. “However, the recent tariff rate increases cast a shadow on this progress. Prices of several goods affected by the tariff war are expected to rise, potentially reversing the trend and hindering economic growth"