The consumer price index (CPI) increased 0.3 percent last month after rising 0.4 percent in October, the Labor Department said Wednesday. In the 12 months through November, the CPI rose 2.1 percent.
The so-called core CPI, which excludes the volatile food and energy categories, increased 0.2 percent in November and 2.3 percent over the past year, in line with the previous month.
The firmer inflation figures would give Fed officials more confidence to keep interest rates unchanged after concluding a two-day policy meeting later on Wednesday, analysts said.
"Policy makers aren't inclined to cut rates again barring a fresh downturn in activity; clearly, an upswing will take a rate cut off the table entirely," Tim Duy, professor at the University of Oregon and a long-time Fed watcher, wrote in an analysis on Tuesday. He noted that the U.S. economy is "apparently on firmer footing," citing November employment data.
The Fed has lowered interest rates three times since July, amid growing risks and uncertainties stemming from trade tensions, weakness in global growth and muted inflation pressures. These policy adjustments put the current target range of federal funds rate at 1.5 percent to 1.75 percent.
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