U.S. consumer prices recorded their biggest drop in nearly six years in November as gasoline prices tumbled, but did little to change views the Federal Reserve would start raising interest rates in mid-2015.
The Labor Department said on Wednesday its Consumer Price Index (CPI) fell 0.3 percent, the largest decline since December 2008, after being flat in October. The CPI increased 1.3 percent in the 12 months through November, the smallest gain in nine months, after advancing 1.7 percent in October.
Fed officials shrugged off the disinflationary trend as transitory in a statement at the end of a two-day meeting. The U.S. central bank offered an upbeat assessment of the economy and signaled it was on track to raise borrowing costs in 2015.