US consumer inflation eases to 4.9% in April after advancing 5% YoY in Mar

The Consumer Price Index (CPI) rose 0.4% last month after gaining 0.1% in March, the Labor Department said on Wednesday

US consumer prices increased in April on higher gasoline costs and rents, while underlying inflation remained strong as used motor vehicle prices rebounded, potentially ensuring that the Federal Reserve keeps interest rates elevated for a while.

The Consumer Price Index (CPI) rose 0.4 per cent last month after gaining 0.1 per cent in March, the Labor Department said on Wednesday.
 

In the 12 months through April, the CPI increased 4.9 per cent after advancing 5.0 per cent on a year-on-year basis in March.

The annual CPI peaked at 9.1 per cent last June, which was the biggest increase since November 1981, and is subsiding as last year’s initial surge in energy prices following Russia’s invasion of Ukraine drops out of the calculation. Economists polled by Reuters had forecast the CPI climbing 0.4 per cent last month and increasing 5.0 per cent year-on-year.

Metaverse may contribute up to 2.4% of GDP by 2035

The metaverse could contribute as much as $760 billion or about 2.4 per cent to US annual gross domestic product by 2035, according to a study commissioned by  Meta Platforms. The concept of the metaverse includes augmented reality technologies that allow users to immerse themselves in a virtual world.

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US companies are feeling the heat of decades-high interest rates and sticky inflation, with several filing for bankruptcy protection as the era of easy money draws to a close. The tally of US companies that have gone bankrupt so far in 2023 is higher than the first four months of any year since 2010, data from S&P Global Market Intelligence showed.