Published on February 13, 2026 by Price Inflation Report

Inflation in Numbers

Overall prices rose modestly in January 2026. The Consumer Price Index (CPI), which tracks what consumers pay for a broad basket of goods and services, increased 0.2% from December and was up 2.4% over the past year. Housing rose 0.2% in the month and remains up 3.4% over the year, continuing to be a main driver of overall price growth. Food and beverages also increased 0.2% in January (2.8% annually). Medical care rose 0.3% in the month (3.2% annually). In contrast, transportation prices declined 0.3% in January and are 1.1% lower than a year ago, providing some relief. Prices for other goods and services rose sharply in the month (1.3%) and are up 5.9% over the year.

What It All Means

For a typical American household, price pressures remain present but continue to cool compared with the recent high-inflation period (Apr. 2021 - May 2023). Housing, food, and healthcare are still rising steadily, keeping core living costs elevated. However, falling transportation costs and slower overall inflation suggest that household budgets are not being squeezed as rapidly as during the high-inflation period of past couple years. With total inflation at 2.4%, purchasing power is stabilizing. In practical terms, a basket of goods and services that costs $100 in January 2026 would have cost about $97.60 in January 2025.

Consumer Price Changes: January 2026

Data source

Consumer Price Index, U.S. Bureau of Labor Statistics

Written by Price Inflation Report