San Antonio, TX, December 19, 2025
Inflation rates in the U.S. showed a significant slowdown in November, with an increase of only 2.7% compared to last year. This has implications for consumers and businesses in San Antonio as core inflation also eases. Despite some mixed trends in food and energy prices, local entrepreneurs are optimistic about leveraging these changes for growth and resilience in the community’s economy.
U.S. Inflation Shows Signs of Moderation in November 2025
Lower consumer prices bring cautious optimism for San Antonio’s economy
San Antonio, TX — In a welcome development for consumers and entrepreneurs alike, inflation rates in the United States experienced a notable slowdown in November 2025, with prices rising by just 2.7% compared to the previous year. This figure is a decrease from the 3.0% rise noted in September and falls short of the economists’ predictions of 3.1%. As local businesses continue to strive for growth, the implications of this economic shift will be felt across the San Antonio community.
The recent findings point towards a gradual easing of inflationary pressures which could benefit both households and small businesses in San Antonio. The Consumer Price Index (CPI), which serves as a vital indicator of inflation, recorded a modest 0.2% increase over the months of October and November. However, the report’s release was delayed due to a 43-day government shutdown that complicated data collection, ultimately resulting in the cancellation of the October CPI report.
Core Inflation and Consumer Prices
Core inflation, which excludes the volatile prices of food and energy, demonstrated notable relief, increasing by just 2.6% year-over-year, compared to a rise of 3.0% in September. This shift indicates that the persistent inflationary pressures affecting consumer prices are showing signs of abatement, a development that is particularly encouraging for the Bexar County economy.
Food and Energy Price Trends
Despite the overall moderation, certain categories saw significant price increases. Food prices rose by 2.6% annually, with substantial spikes in coffee (18.8%) and beef (15.8%). Electricity costs also saw a climb of 6.9%. Conversely, the price of eggs decreased by 13.2%, highlighting the mixed nature of the market. This fluctuation in essential goods can impact local eateries and grocery stores, creating varied conditions for entrepreneurs.
Federal Reserve Adjustments and Employment Trends
In response to shifting inflation dynamics, the Federal Reserve recently adjusted its benchmark interest rate down to a range of 3.50%-3.75%. The Fed has signaled a pause on future cuts until more concrete data on inflation and the labor market are available. Reflecting broader economic shifts, San Antonio’s unemployment rate edged up slightly to 4.6%, attributed to the impacts of the government shutdown.
Looking Ahead for San Antonio
Economists warn that the November figures may not reflect the complete picture due to both the timing of the government shutdown and the potential influences of holiday shopping discounts. More reliable inflation insights will be forthcoming in January 2026, when December’s CPI data becomes available. Local entrepreneurs, however, remain optimistic, leveraging the overall decrease in inflation to recalibrate their business strategies and continue contributing to San Antonio’s economic resilience.
Conclusion
The November CPI report points to a gradual easing of inflation, an encouraging sign for both consumers and the burgeoning workforce in San Antonio. As we move forward, it is essential for residents to remain engaged with local businesses and support initiatives that foster economic growth. Together, we can continue to cultivate a thriving community in Bexar County.
Frequently Asked Questions (FAQ)
What was the annual inflation rate in November 2025?
The annual inflation rate in November 2025 was 2.7%, down from 3.0% in September. This was below economists’ expectations of a 3.1% increase.
Why was the November CPI report delayed?
The November Consumer Price Index (CPI) report was delayed due to a 43-day government shutdown that hindered data collection, leading to the cancellation of October’s CPI release.
What is core inflation, and how did it change in November 2025?
Core inflation excludes the more volatile food and energy sectors. In November 2025, core inflation increased by 2.6% year-over-year, down from 3.0% in September, indicating easing underlying inflationary pressures.
How did food and energy prices change in November 2025?
Food prices rose by 2.6% annually, with significant increases in coffee (18.8%) and beef (15.8%). Electricity costs climbed by 6.9%. Conversely, egg prices decreased by 13.2%.
What is the Federal Reserve’s current stance on interest rates?
The Federal Reserve recently reduced its benchmark interest rate to 3.50%-3.75% but indicated a pause in future cuts pending clearer inflation and labor data.
When will more reliable inflation data be available?
More reliable inflation figures are expected in January 2026, when December’s CPI data will be released.
Key Features of the November 2025 Inflation Report
| Feature | Details |
|---|---|
| Annual Inflation Rate | 2.7%, down from 3.0% in September, below the expected 3.1% increase. |
| Core Inflation | 2.6% year-over-year, down from 3.0% in September, indicating easing underlying inflationary pressures. |
| Food Prices | Increased by 2.6% annually, with significant hikes in coffee (18.8%) and beef (15.8%). |
| Electricity Costs | Climbed by 6.9% year-over-year. |
| Egg Prices | Decreased by 13.2%. |
| Federal Reserve Interest Rate | Reduced to 3.50%-3.75%, with a pause in future cuts pending clearer inflation and labor data. |
| Unemployment Rate | Rose slightly to 4.6%, influenced by shutdown-related distortions. |
| Data Collection Disruptions | November’s report was delayed due to a 43-day government shutdown, leading to the cancellation of October’s CPI release. |
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Author: STAFF HERE SAN ANTONIO WRITER
The SAN ANTONIO STAFF WRITER represents the experienced team at HERESanAntonio.com, your go-to source for actionable local news and information in San Antonio, Bexar County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Fiesta San Antonio, San Antonio Stock Show & Rodeo, and Dia de los Muertos. Our coverage extends to key organizations like the Greater San Antonio Chamber of Commerce and United Way of San Antonio and Bexar County, plus leading businesses in retail, insurance, and energy that power the local economy such as H-E-B, USAA, and Valero Energy. As part of the broader HERE network, including HEREAustinTX.com, HERECollegeStation.com, HEREDallas.com, and HEREHouston.com, we provide comprehensive, credible insights into Texas's dynamic landscape.
