On average, analysts expected a 2.7 percent increase, according to a Bloomberg survey.
Including food and energy, inflation in December was 2.7 percent, according to the BLS. That was unchanged from November and in line with expectations. Compared with the previous month, consumer prices rose 0.3 percent in December, according to the report.
The US Federal Reserve (Fed), whose next interest rate announcement is due in just over two weeks, has an inflation target of 2 percent.
The Trump administration has created turmoil and debate this week with a threat of prosecution for what are described as suspected crimes in connection with a renovation. Fed Chairman Jerome Powell has described the threat of prosecution as an attempt to force interest rate cuts and as a threat to the Fed's independence.





