Cheap oil has slowed to zero growth in consumer prices in the U.S.

Moscow. December 15. Consumer prices (index CPI) in the U.S. in November, unchanged compared with the previous month, when it was recorded a rise by 0.2%, amid falling oil prices and other energy carriers, according to data from the Ministry of labour of the country. The price increase compared to November of last year accelerated to 0.5% from 0.2% in October.

Analysts polled by Bloomberg, had expected zero growth of the first indicator and the second rise by 0.4%.

Prices excluding the cost of food and energy (Core CPI) last month rose by 0.2% compared to October and by 2% compared with November last year. Dynamics of both indicators coincided with the consensus forecast.

General inflation in annual terms last month was the highest for the year, and the growth of index Core CPI – the most significant since may 2014. However, the PCE Core index (Personal Consumption Expenditures, Excluding Food & Energy), which closely tracks the fed when assessing the risks of inflation, from April 2012 remained below the U.S. Central Bank target level of 2%.

Cheap oil and petrol, helps to keep inflation below the target level, increasing the purchasing power of American consumers. “Inflation will be difficult to recover to the target level. Downward movement in energy prices lately tighten this script. There is a risk of further pressure from the dollar,” said a senior economist at Ameriprise Financial Russell Price.

Goods in the U.S. fell in November by 2.8% compared with the same month of 2014, while prices of services rose 2.5%.

The price index for energy (CPI Energy) fell by 14.7% in annual terms in November, including the price of heating oil fell by 31.4%.

Gasoline in the U.S. in December fell to $2.01 per gallon (3,79 l) – at least six years, according to the Automobile Association of America (AAA).