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.

 

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