U.S. consumer prices rose moderately in April and underlying inflation remained ...
WASHINGTON - U.S. consumer prices rose moderately in April and underlying inflation remained muted, suggesting the Federal Reserve could keep interest rates unchanged for a while.
“Great Consumer Price Index just out. Really good, very low inflation! We have a great chance to ‘really rock!’ Good numbers all around,” Trump tweeted after the report. Economists polled by Reuters had forecast the CPI increasing 0.4 percent in April and rising 2.1 percent year-on-year. The Fed, which has a 2 percent inflation target, tracks a different measure, the core personal consumption expenditures price index, for monetary policy.
In April, gasoline prices rose 5.7 percent, accounting for more than two-thirds of the increase in the CPI last month, after surging 6.5 percent in March. Healthcare costs increased 0.3 percent, matching March’s gain. There were increases in the cost of prescription medication and doctor visits. But the cost of hospital services fell 0.5 percent.
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