Here’s the inflation breakdown for February 2025 — in one chart

Inflation receded in February on the again of easing worth pressures for shopper staples like gasoline, groceries and housing, amid worries that President Donald Trump’s tariff insurance policies may stall progress.

The patron worth index rose 2.8% for the 12 months led to February, the U.S. Bureau of Labor Statistics reported Wednesday. That is down from 3% in January.

The deceleration is encouraging after fears in current months that inflation had turn into entrenched and wasn’t falling again to focus on.

“Progress is bumpy,” mentioned Michael Pugliese, senior economist at Wells Fargo Economics. “It isn’t a linear path down. There are nonetheless dangers, however there aren’t any indicators of a reacceleration with the information in hand.”

The patron worth index measures how rapidly costs rise or fall for a basket of products and providers, from haircuts to espresso, clothes and live performance tickets.

CPI inflation has declined considerably from its pandemic-era excessive of 9.1% in June 2022. Nonetheless, it stays above the Federal Reserve’s goal. The central financial institution goals for a 2% annual price over the long run.

“Excluding any main coverage adjustments, I might anticipate [inflation] to proceed regularly slowing,” Pugliese mentioned. “In fact, the large query on everybody’s thoughts is, what are the large coverage adjustments that can occur over the course of this yr?”

Trump imposed a recent spherical of tariffs on international metal and aluminum imports on Wednesday, triggering retaliatory tariffs from Europe on about $28 billion of U.S. items beginning in April. The Trump tariffs comply with on others he is already imposed on Canada, China and Mexico, the three largest buying and selling companions of the U.S.

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Tariffs, a tax paid by U.S. importers, add prices for companies that finally get handed to customers, economists mentioned. Metal tariffs, for instance, may make steel-intensive gadgets like vehicles, houses and equipment costlier, they mentioned.

The president has proposed extra tariffs, although it is unclear if they’re going to take impact or for the way lengthy.

Egg costs spiked by 59% over the previous yr, by far the biggest improve for any merchandise in February.

An outbreak of avian flu — which is very contagious and deadly amongst birds — has killed tens of millions of egg-laying chickens and decreased egg provide, economists mentioned. The U.S. Justice Division additionally opened an investigation into potential antitrust points associated to the surging worth of eggs, based on information stories.

The worth of on the spot espresso has additionally elevated about 9% up to now yr, based on the CPI information. Climate patterns like droughts fueled by local weather change have disrupted main espresso growers together with Brazil, lowering provides of espresso beans.

General, although, inflation for groceries is comparatively low, at 1.9% up to now 12 months.

Gasoline inflation was additionally tame in February. Costs had been down 1% from January to February, and down 3% up to now yr, based on CPI information.

Shelter is the biggest element of the CPI, and actions up and down can have a major influence on general inflation readings. Annual inflation for shelter was at 4.2% in February, the bottom since December 2021.

“Housing inflation is traditionally the ‘stickiest’ element of inflation, which means it takes longer to buck worth tendencies,” Gargi Chaudhuri, BlackRock’s chief funding and portfolio strategist for the Americas, wrote in an emailed word Wednesday. “The current pattern in housing costs retains us optimistic on the longer term trajectory of inflation.”

Correction: The patron worth index was down from 3% in January. An earlier model misstated the timing.