Reflecting another steep drop in energy prices, the Labor Department released a report on Wednesday showing a modest decrease in U.S. consumer prices in the month of February.
The Labor Department said its consumer price index dipped by 0.2 percent in February after coming in unchanged in January. Economists had expected prices to fall by 0.3 percent.
The drop in consumer prices was primarily due to the sharp decline in energy prices, which plunged by 6.0 percent in February after sliding by 2.8 percent in each of the two previous months.
Gasoline prices showed a substantial 13.0 percent decrease, and the indexes for fuel oil and electricity also fell.
Excluding food and energy prices, core consumer prices rose by 0.3 percent in February, matching the increase seen in the previous month. Core prices had been expected to edge up by 0.2 percent.
Apparel prices showed a sharp 1.6 percent jump during the month, while higher prices for shelter and medical care also contributed to the increase in core prices.
Reflecting the monthly decrease, the annual rate of growth by the headline consumer price index slowed to 1.0 percent in February from 1.4 percent in January.
On the other hand, the report said core prices were up 2.3 percent year-over-year in February, reflecting an acceleration from the 2.2 percent growth reported for January.
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