Washington — Underlying US consumer prices recorded their largest increase in 11 months in December amid strong gains in the cost of rental accommodation and healthcare, bolstering expectations that inflation will gain momentum in 2018. The labour department said its consumer price index (CPI) excluding the volatile food and energy components rose 0.3% in December, also as prices for new motor vehicles, used cars and trucks and motor vehicle insurance increased. That was the biggest advance in the so-called core CPI since January 2017 and followed a 0.1% gain in November. Core CPI increased 1.8% in the 12 months to the end of December, picking up from 1.7% in November. Economists polled by Reuters had forecast core CPI rising 0.2% month-on-month and holding steady at 1.7% on an annual basis. Weak import and producer price reports this week had raised concerns about the inflation outlook, although the two reports did not have a strong correlation with the CPI data. Economists were ho...
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