The uptick in consumer prices was primarily due to an increase in shelter costs, which climbed by 0.4 percent in January. Compared to the same month a year ago, consumer prices were up by 2.5 percent in January, reflecting the biggest annual increase since October of 2018. They added, "With inflation, as measured by the PCE price index, and growth likely to fall short of the Fed's outlook, we foresee further monetary policy easing with another rate cut likely by midyear."