Meteorologia

  • 18 OCTOBER 2024
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MIN 16º MÁX 22º

US inflation rate slows to 3.4% in April

The annual inflation rate in the United States slowed for the first time since January, to 3.4% in April, from 3.5% in March, the US Labor Department announced today.

US inflation rate slows to 3.4% in April
Notícias ao Minuto

15:21 - 15/05/24 por Lusa

Economia Estados Unidos

The U.S. Department of Labor’s Bureau of Labor Statistics (BLS) reported on Tuesday that consumer prices rose 0.3% month-over-month in April, following a 0.4% increase in March.

Core inflation, the measure most closely watched by the Federal Reserve, fell by two-tenths of a percentage point to 3.6% year-over-year in April.

The BLS said that the shelter index rose in April (up 0.4% month-over-month), as did the gasoline index (up 2.8% month-over-month), and together they contributed more than 70% of the monthly increase in the all-items index.

Shelter has now increased 5.5% over the past year, while gasoline is up 1.2%.

Overall, the energy index rose 1.1% during the month and is up 2.6% over the past year.

Food prices were unchanged in April, leaving them up 2.2% over the past year.

This is the first monthly decline in prices in three months, as both March and February saw increases, and the modest one-tenth of a percentage point drop underscores Fed Chair Jerome Powell’s warning that it will be difficult to bring inflation down in a sustained way.

The Fed has raised interest rates seven times since March 2022 and has held them in a range of 5.25% to 5.5% since July of last year, the highest level since 2001.

Speaking at an event in Brussels on Tuesday, Powell reiterated that the central bank is “likely” to keep interest rates at their current level when it next meets to set monetary policy on June 11-12.

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