US inflation dropped to 2.4% in January after last year’s tariff-driven price swings.
Prices rose 0.2% from December, while core inflation increased 0.3%.
Economists had expected a slightly higher annual rate.
Inflation reached 2.3% in April, climbed to 3% in September, then fell again late in the year.
The White House called the new figure proof that its economic agenda is working.
Officials argued that lower inflation will support future interest rate cuts.
The Federal Reserve is studying the data before its March meeting.
Jerome Powell said tariff effects will raise prices temporarily before stabilizing.
The labor market remained firm, but job growth slowed sharply in 2025.
Trump highlighted GDP growth and price stability and praised his economic record.
However, recent polls show weak voter approval, especially on inflation.
This trend could hurt Republicans in the midterm elections.
The administration has recently proposed measures on housing costs, credit card debt, and drug prices.
