Inflation rose again in December as stubbornly high prices continued to strain consumers' finances ahead of the Federal Reserve's next decision on interest rates.

The Labor Department on Wednesday said that the consumer price index (CPI) – a broad measure of how much everyday goods like gasoline, groceries and rent cost – increased 0.4% in December while ticking up to 2.9% on an annual basis.

The month-to-month reading came in slightly hotter than expected by economists polled by LSEG, while the annual figure was in line with expectations. The headline figure was up compared with November's reading of 2.7%, while monthly price growth continued at the same pace as a month ago.

So-called core prices, which exclude more volatile measurements of gasoline and food to better assess price growth trends, were up 0.2% on a monthly basis in December – down from 0.3% the prior month – and 3.2% from a year ago.&nbsp;

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The Labor Department released the inflation report for December which showed prices were up 2.9% from a year ago, in line with economists expectations and up from 2.7% in November.{ai:summary}Inflation increased in December, with the consumer price index rising 0.4% month-over-month and 2.9% year-over-year, as reported by the Labor Department. Core prices, excluding food and gas, rose 0.2% monthly and 3.2% annually.These figures indicate ongoing pressure on consumer finances ahead of the Federal Reserve's interest rate decision. #economy

Inflation rises 2.9% in December, in line with expectations

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