Inflation fell to 2.8% on a year-over-year basis in February

The Labor Department reported that the consumer price index (CPI) fell to 2.8% on a year-over-year basis in February, a better-than-expected performance that marks a slowdown after four consecutive months of advancing inflation.

The February measurement corresponds to the first full month of Donald Trump's second term as president.

"The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.2 percent on a seasonally adjusted basis in February, after rising 0.5 percent in January," detailed the department.

In that regard, the report explained that the housing index rose by 0.3% in February, accounting for almost half of the monthly increase in all products.

The increase in housing costs was partially offset by a 4.0 percent drop in the airfare index and a 1.0 percent decline in the consumer price index.

Despite the drop in the gasoline index, the energy index rose 0.2 percent, driven by increases in the electricity and natural gas indexes.