Consumer Prices in U.S. Drop Most in Six Years as Fuel Falls

The cost of living in the U.S. declined in December by the most in six years, reflecting a plunge in energy costs that’s keeping inflation from rising toward the Federal Reserve’s goal.

The consumer-price index dropped 0.4 percent, the biggest decline since December 2008, after falling 0.3 percent in November, a Labor Department report showed Friday in Washington. The median forecast of 89 economists surveyed by Bloomberg called for a 0.4 percent decline. Excluding volatile food and fuel, the so-called core measure was unchanged, failing to rise for only the second time since 2010.