US inflation dropped to 2.4% in January after last year’s tariff-driven price swings.
The Bureau of Labor Statistics reported a 0.2% monthly increase in consumer prices.
Core inflation, excluding food and energy, rose 0.3% during the month.
Economists had expected a slight decline to about 2.5%.
Prices fluctuated sharply last year, falling to 2.3% in April.
They later climbed to 3% in September before easing again.
The White House credited Trump’s economic agenda for stabilizing prices.
Officials argued tariffs did not create lasting inflation spikes.
They also predicted future interest rate cuts would boost growth.
The Federal Reserve kept rates steady in January.
Chair Jerome Powell said tariff effects should fade later this year.
Job growth slowed in 2025, with 181,000 jobs added after revisions.
Polls now show declining approval of Trump’s economic performance, especially on inflation.
The administration has proposed new measures to address housing, debt, and drug costs.
