U.S. Personal Spending Stayed Strong in April as Inflation Edged Lower

2022.05.27 15:46

By Geoffrey Smith 

Investing.com — U.S. consumers kept spending in April, amid fresh signs that, at least in annual terms, inflation may have peaked for the current cycle.

Personal spending rose by a stronger-than-expected 0.9% in the month. That was a slowdown from March, but March’s data were also revised higher to show a gain of 1.4%, rather than the initially reported 1.1%. 

At the same time, the annual rate of inflation, as measured by Personal Consumer Expenditures, eased slightly to 6.3% from a 40-year high of 6.6% in March, while the core index fell to 4.9% from 5.2%. In monthly terms, PCEs rose 0.3%, in line with expectations. 

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