December CPI seen steady at 2.7% YoY, core inflation remains above Fed target

Beincrypto reports the US Bureau of Labor Statistics will publish December’s Consumer Price Index report on Tuesday at 13:30 GMT, with the reading expected to show prices remained broadly stable in the last month of 2025.

Headline CPI is forecast to rise 2.7% year‑on‑year in December, unchanged from the prior month, while core CPI is seen edging to 2.7% from 2.6%, remaining above the Fed’s target; on a monthly basis both headline and core are expected at about 0.3%. Analysts and the Minutes from December 30 point to a divided Fed and cautious policymakers, and investors have so far pencilled in 50 bps of easing this year.

The report could prompt short‑term moves in the US dollar but is unlikely to change the Fed’s policy stance unless it produces a genuine surprise, and renewed threats to the Fed’s independence may overshadow the data. On FX technicals, Pablo Piovano warns a decisive slip below the 55‑day moving average at 1.1639 could open a deeper pullback toward the 200‑day SMA at 1.1561 and lower November and August lows, while a clean break above the December peak at 1.1807 would put the 2025 high at 1.1918 and the 1.2000 level into view.

Key Topics

Business, Consumer Price Index, Federal Reserve, Eur/usd, Pablo Piovano, Nonfarm Payrolls