Key inflation measure, personal consumption measure rose 2.8% in January, compared to year ago

Inflation increased 2.8% in January, compared to a year ago, according to a key report released Thursday by the Commerce Department.

The monthly personal consumption expenditures price index, by the agency's Bureau of Economic Analysis, also shows prices, excluding food and energy costs, increased 0.4% in January, compared to the previous month.

The monthly and annualized numbers were in line with Wall Street expectations, according to CNBC. 

The report also showed consumers are continuing to dip into savings as prices stay elevated – based on the personal savings rate was 3.8% in January. The percentage is slightly higher than December's but off a full percentage point from where it was as recently as June 2023, CNBC also reports.