In a Slight Respite for Consumers, Inflation Starts to Cool

But the threat of a trade war and sliding employment numbers complicate the economic outlook

By Matthew Schwartz    March 14, 2025     2-minute read

Inflation is easing, albeit slightly. The Consumer Price Index for February was up 2.8 percent from a year earlier, after rising another 0.2 percent from January. That was a step down from January's surprisingly large 0.5 percent increase and came in below economists' expectations, according to the Bureau of Labor Statistics. However, existing cracks in the economy, such as a rise in jobless claims, could still lead to a sharp downturn.