Consumer prices in the U.S. climbed 0.2% for January, according to government figures released Friday. That nudged annual inflation down to 2.4%. Stock index futures trimmed earlier losses following the data. Stripping out food and energy, core CPI came in at a 0.3% monthly increase and 2.5% over the last year. This week’s inflation data arrives with stocks on edge. Investors are combing through signals for clues on when the Federal Reserve could lower rates next—especially after last week’s unexpectedly hot jobs report. Heading into Friday, futures put the odds of a June cut near 70%, with markets penciling in about 60 basis points of easing for the year. Deutsche Bank analysts, though, cautioned a fresh “hawkish” reading might easily
