U.S. Inflation Eased Less Than Hoped in April Due to Strong Core CPI
2022.05.11 15:42
By Geoffrey Smith
Investing.com — U.S. inflation eased by less than hoped in April, as strong price pressures in the broader economy continued to make themselves felt.
The annual headline rate of inflation fell to 8.3% from 8.5%, as last year’s surge in used car prices started to drop out of the year-on-year calculations. However, that was still above the 8.1% expected.
The reason for the overshoot was another bigger-than-expected rise in core prices, which strip out volatile food and energy price movements. The core CPI rose 0.6% on the month, rather than the 0.4% expected. That was twice the 0.3% increase posted in March and was the biggest increase for three months, suggesting that the recent trend in inflation is hardly improving, if at all.
