The Joint Economic Committee released its Monthly Inflation Update for January 2026 last week, highlighting a modest cooling in consumer price pressures as headline inflation declined below expectations.
According to data from the Bureau of Labor Statistics (BLS), the Consumer Price Index for All Urban Consumers (CPI-U) rose 2.39% year-over-year in January, down from 2.68% in December 2025. This marks a continued easing trend and comes in slightly below Cleveland Federal Reserve’s forecast of 2.36%.
Core CPI-U, which excludes volatile food and energy components, increased 2.50% over the same period, compared to 2.64% the prior month. Month-over-month, headline CPI-U advanced 0.17% from December to January, while core CPI-U rose 0.30%.
Key drivers included a sharp decline in energy prices, which fell -1.47% month-over-month and -0.14% year-over-year, a drop of 2.44 percentage points from December’s year-over-year figure. Food prices, meanwhile, increased 0.19% monthly and 2.88% annually, up 0.38 percentage points from the previous year.
Inflation continued to ease across all regions in January 2026, though rates varied geographically. The Northeast posted the highest inflation at 2.8%, followed by the West at 2.7% and the Midwest at 2.4%, while the South recorded the lowest rate at 1.9%. Each region experienced a decline from December levels.
The report also highlighted positive developments in workers’ purchasing power. Real average weekly earnings for all employees on private nonfarm payrolls rose 0.53% from December to January and climbed 1.88% year-over-year. Real average hourly earnings increased 0.26% monthly and 1.25% annually. For production and nonsupervisory employees, real weekly earnings grew even more robustly at 2.16% year-over-year.
These gains reflect wages outpacing inflation, providing American workers with improved real income amid moderating price pressures.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
As the tech industry continues to boom, the Bureau of Labor Statistics projects over 317,700 annual job openings in tech and computing fields through 2034, far outpacing other sectors.
Arizona, home to a growing tech scene, ranks 44th out of 50 states for pursuing a tech career, according to research by TryHackMe. The study highlights how tech graduates in Arizona earn 52.5% more than the average graduate but face higher costs and lower overall prospects compared to top-performing states like Alaska, Wyoming, and Utah.
The analysis evaluated states on key factors, including the average annual cost of a tech degree, the number of schools offering tech courses, median earnings for tech graduates four years after graduation, and how those earnings compare to the median for all graduates.
Arizona ranked 44th overall with a score of just 2.65 out of 10, highlighting notable challenges for tech career growth. Despite having 120 institutions that offer tech-related programs, the average annual tuition of $19,310 remains a significant financial barrier for many students.
Four years post-graduation, tech alumni in Arizona earn a median salary of $51,705—52.5% above the state average of $33,894 for all graduates. These earnings still trail behind many other states, where tech graduates see even greater returns on their investments.
The top 5 destinations for tech careers are:
Alaska (Score: 7.31/10) – Average annual cost of tuition: $12,982; Schools: 9; Median tech earnings: $76,773 (146.1% more than the state average of $31,197).
Wyoming (Score: 7.02/10) – Average annual cost of tuition: $10,537; Schools: 10; Median tech earnings: $60,313 (50.6% more than the state average of $40,050).
Utah (Score: 6.89/10) – Average annual cost of tuition: $16,387; Schools: 63; Median tech earnings: $74,702 (152.1% more than the state average of $29,635).
Kentucky (Score: 6.25/10) – Average annual cost of tuition: $14,657; Schools: 87; Median tech earnings: $49,798 (58.3% more than the state average of $31,450).
Maryland (Score: 6.14/10) – Average annual cost of tuition: $16,875; Schools: 80; Median tech earnings: $66,943 (65.9% more than the state average of $40,342).
The top 5 worst destinations for tech careers are:
Rhode Island (Score: 1.04/10) – Average annual cost of tuition: $26,628; Schools: 22; Median tech earnings: $67,325 (52.0% more than the state average of $44,287).
New Hampshire (Score: 2.25/10) – Average annual cost of tuition: $20,505; Schools: 33; Median tech earnings: $71,109 (72.0% more than the state average of $41,336).
Maine (Score: 2.28/10) – Average annual cost of tuition: $17,755; Schools: 37; Median tech earnings: $58,611 (44.1% more than the state average of $40,682).
Pennsylvania (Score: 2.51/10) – Average annual cost of tuition: $20,603; Schools: 331; Median tech earnings: $56,834 (38.5% more than the state average of $41,024).
Minnesota (Score: 2.55/10) – Average annual cost of tuition: $17,238; Schools: 108; Median tech earnings: $66,383 (56.5% more than the state average of $42,414).
“The prospects for tech graduates are among the best in any field, and it’s only set to grow stronger with the Bureau of Labor Statistics projecting that tech is likely to have a bigger job boom than most sectors,” said Ben Spring, Co-founder of TryHackMe. “This study highlights where in the US, tech graduates will see the best prospects compared to their fellow graduates, with states such as Maine and Rhode Island needing to invest more into tech courses and job markets to compete with the likes of Alaska and Wyoming.”
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
Guess what! Inflation, growth, jobs: Conventional wisdom from America’s economic punditry was across-the-board wrong. Again.
At the year’s start the punditry predicted that Trump’s tariffs would cause a surge of inflation and would likely trigger recession. Well, the Bureau of Labor Statistics (BLS) released Consumer Price Index (CPI) numbers on Thursday. Reuters’ polling of private economists predicted inflation would accelerate to 3.1% year-over-year, the fastest pace since 2023. The actual BLS figure came in at 2.7%, with core inflation even lower at 2.6%.
But the news gets better. Year-over-year inflation means it includes inflationary pressures from the end of Biden’s presidency. It’s a very lagging figure.
To understand what inflation’s doing now, and to filter out some of the data’s noise, a better gauge is to look at inflation over the last two months, which came in at 1.2% annualized, well below the Federal Reserve’s 2% target.
There is a small caveat to this good news. Due to the Schumer government shutdown, BLS was unable to collect all the usual data for the CPI report, so some items were left out. The economists who predicted accelerating inflation are thus arguing that inflation would, with all the data, have been much higher and thus excusing their bad forecasts.
However, as New York Fed President John Williams points out, the missing data “pushed down the CPI reading, probably by a tenth or so.” OK, so topline inflation was 2.8% while the annualized two-month figure goes to 1.8%, still well below consensus forecast and still below the Fed’s target rate.
What about Trump’s tariffs? To be sure, they pushed some prices up faster than they otherwise would have. But the tariffs only applied to a small fraction of all the goods and services sold in America. So, when it comes to overall inflation, the net effect could never be more than a one-time rounding error.
Further, inflation is fundamentally a monetary phenomenon. These tariff-induced price bumps occurred against a background of the underlying inflationary impulse from money supply interacting with money demand. The Fed has run a moderately restrictive policy for years, so naturally inflation is falling.
Assuming at least one of the Fed’s legion of economists can do this two-month calculation and has the temerity to show it to Chair Powell and the rest of the Fed’s leadership, then further Fed rate cuts should be assured and imminent on the road to neutral.
And what about that predicted recession? After inflation, Gross Domestic Product (GDP) soared 3.8% in the second quarter of this year, while the Atlanta Fed’s “Nowcast” of third quarter GDP is a still-impressive 3.5%.
Some of Reuters’ economists will likely portray this slight slowdown in growth as “scary” and a sign of pending recession. Nonsense. The economy is ripping, with the only recession pending threatening the salaries of those economists making silly forecasts.
Finally, those still desperate to argue economic weakness might turn to the labor market. The economy generated about 166,000 jobs a month during Biden’s last year in office. So far under Trump the economy has generated about 50,000 jobs a month. Sounds scary, but much of that decline occurred because federal employment fell by 27,000 jobs a month.
The even bigger jobs story is that employment by foreign-born workers has fallen by about 100,000 a month under Trump. This is what happens when immigration laws are enforced and the border is secured. Put it all together and private-sector native-born employment is doing very well.
And the cherry on top is that after stagnating for the four years of the Biden presidency, median real wages are now rising at a 1.6% annualized rate. Rising wages and plentiful private-sector jobs, not gimmicks like Obamacare subsidies and rent controls, are how you prosper American workers or, in today’s parlance, address “affordability.”
Just don’t be surprised if you don’t hear that from the legacy media.
J.D. Foster is a contributor to the Daily Caller News Foundation. He is the former chief economist at the Office of Management and Budget and former chief economist and senior vice president at the U.S. Chamber of Commerce. He now resides in relative freedom in the hills of Idaho.
Arizona’s labor market continued to struggle in July, losing nearly 5,000 jobs and marking the state’s third consecutive month of employment decline, according to the latest data from the Bureau of Labor Statistics.
The state shed 4,900 nonfarm jobs on a seasonally adjusted basis last month, a 0.15% decrease that ranked Arizona 46th among all states in monthly job growth. Since April, the state has lost a total of 23,400 jobs—the steepest decline in both raw numbers and percentage change of any state in the nation.
Nationally, employment also slipped, falling 0.12% in July. Twenty-one states reported job losses.
On a year-over-year basis, Arizona gained 29,600 jobs, a 0.9% increase that puts the state roughly in line with the national average of 1.0%. But the pace of growth has slowed sharply compared to recent years. So far in 2025, Arizona has added just 5,200 jobs—an average of 743 per month. Between 2022 and 2024, monthly job growth averaged more than 5,300.
Economists say the state remains well below its pre-pandemic trajectory. Arizona now has about 254,400 fewer workers than it would have had if its 2017–2019 growth trend had continued. At the current pace, the gap is unlikely to close.
The state’s mining and logging industry was the strongest performer, adding 1,400 jobs in July and growing nearly 10% over the past year. Analysts credit federal policy shifts and rising demand for U.S.-sourced raw materials like copper and uranium for the sector’s continued momentum.
By contrast, manufacturing continued to contract, losing 1,100 jobs last month and more than 3,000 over the past year—a 1.6% decline. Nationwide, the sector has also struggled, with 29 states reporting year-over-year manufacturing job losses. Leisure and hospitality posted the steepest monthly decline in Arizona, down 0.9% in July.
Arizona’s unemployment rate remained unchanged at 4.1%, holding steady for the fifth straight month. The labor force participation rate also stayed flat at 61.4%. By comparison, the U.S. unemployment rate ticked up to 4.2% in July, while the national participation rate edged down to 62.2%. Both Arizona and the nation remain below pre-pandemic participation levels.
Wages showed modest improvement. Average hourly earnings in Arizona increased by 10 cents in July to $34.79, a 0.29% rise that ranked 18th among all states. Over the past 12 months, wages in the state climbed 4.9%, outpacing the national average of 3.9%. Adjusted for inflation, real wages in Arizona are up 4% compared to just 1.1% nationwide.
Still, long-term wage trends tell a different story. Since April 2020, inflation-adjusted pay in Arizona has fallen 4.1%.
The report also underscored concerns about the reliability of monthly employment estimates. June’s figures were revised downward sharply—from a reported loss of 8,400 jobs to a revised loss of 15,200. That revision ranked as the seventh largest adjustment among all states.
Economists caution that declining survey response rates and lingering disruptions from the pandemic have increased volatility in state-level labor data, making short-term trends harder to interpret.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
Congressman David Schweikert revealed the truth about job numbers after an update was released by the Bureau of Labor Statistics which claimed the economy under outgoing President Joe Biden added 256,000 jobs in the month of December.
“As we transition to a new administration, the December jobs report provides an essential opportunity to assess the economic policies of the Biden administration and the challenges facing hardworking Americans,” stated Schweikert, Vice Chairman of the Joint Economic Committee.
“While the December data demonstrates strong employment growth, having increased 2.2 million in 2024, the report underscores persistent issues that demand immediate attention,” added Schweikert.
“Under the Biden administration, American families have faced unprecedented economic headwinds, including inflation rates that outpaced wage growth for much of the last four years. Policies prioritizing excessive spending and burdensome regulations have strained small businesses, stifled innovation, and eroded purchasing power. While there have been temporary gains in certain heavily subsidized sectors, the broader economic foundation remains unstable,” concluded an exasperated Schweikert.
In a post to X, the Joint Economic Committee Republicans summarized, “In December, employment rose by 256K, averaging a monthly gain of 186K in 2024. While these gains are notable, challenges remain: an unemployment rate above 4% for the past 8 months and a historically low labor force participation rate.”
In December, employment rose by 256K, averaging a monthly gain of 186K in 2024.
While these gains are notable, challenges remain: an unemployment rate above 4% for the past 8 months and a historically low labor force participation rate.
— Joint Economic Committee Republicans (@JECRepublicans) January 10, 2025
In his remarks Friday, Schweikert added, “It’s imperative that we prioritize policies which foster economic growth, encourage innovation, empower domestic businesses, and restore confidence in our markets.”
He added, “Reducing government overreach, prioritizing fiscal responsibility, and enacting tax reform that incentivize investment while rewarding hard work are the most crucial facets of restoring American prosperity.”
“I am committed to working with my colleagues to enact solutions that address these economic challenges and create a thriving future for all Americans. Together, we can ensure that 2025 is the beginning of a stronger, more resilient future for all Americans.”
Payroll employment rose by 2.2 million in 2024 (an average monthly gain of 186,000), with some industries growing more than others. pic.twitter.com/dzesehbhMG
— Joint Economic Committee Republicans (@JECRepublicans) January 10, 2025
The update from the Bureau of Labor Statistics (BLS) is infamously subject to revision as well. This proved to be a factor that badly hurt the Biden administration and the Kamala Harris campaign in August 2024 when the BLS estimate of new jobs created between March of 2023 and March of 2024 was revised down by almost 818,000 or about 30%. The release was allegedly intended after November 5th but was leaked according to President-elect Donald Trump.
Rep. Jodey Arrington, Chairman of the House Budget Committee, observed at the time, “Based on more comprehensive data released from state unemployment tax records, the Biden Bureau of Labor Statistics acknowledges they were way off on the number of new jobs created between March of 2023 and March of 2024 by almost one million or 30%, which is five times their average margin of error. The economy is the top issue in this presidential race and the recent downwardly revised job numbers taken together with persistently high prices and interest rates bellies a much weaker Biden-Harris economy than we were led to believe.”
Accusations that the Biden White House deliberately inflated the jobs numbers abounded with President-elect Donald Trump addressing the revision directly calling it a “total lie,” and “a scandal.”
President Trump addresses report that Biden-Harris Labor Department inflated jobs numbers by 818,000 during speech in Asheboro, NC pic.twitter.com/mNyq6JJ3XL
Trump told supporters in Asheboro, NC, at the time, “The Harris-Biden Administration has been caught fraudulently manipulating job statistics to hid the true extent of the economic ruin that they’ve inflicted on America.”
Schweikert’s office provided a few highlights of the BLS report, noting that the outgoing legacy of the Biden administration will be marked by:
“Real wages failing to keep pace with inflation, leaving many families burdened with record-high levels of credit card debt and preventing the ability to grow savings.
A labor force participation rate that has struggled to recover to pre-pandemic levels, leaving millions of Americans sidelined from economic opportunities.
The failure to address workforce development, with an uneven rate of job openings compared to worker skills, leaving both manufacturing and construction industries with critical labor shortages.”
