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Consumer prices rose at a slower pace in April, with underlying inflation reaching its lowest level this year

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U.S. consumer price increases cooled during April, according to the latest data from the Bureau of Labor Statistics released Wednesday morning.

The Consumer Price Index (CPI) increased 0.3% month-on-month and 3.4% year-on-year in April, a slight slowdown from the previous month. 3.5% annual price gain in March and an increase of 0.4% month on month.

April’s monthly increase was lower than economists’ forecasts of a 0.4% increase. The annual price increase matched estimates, according to Bloomberg data.

On a “basic” basis, which excludes the more volatile costs of food and gas, prices in April rose 0.3% compared to the previous month and 3.6% compared to last year – cooler than data from March. Both measures met economists’ expectations.

Federal Reserve Chairman Jerome Powell speaks during a news conference at the Federal Reserve in Washington, May 1, 2024. (AP Photo/Susan Walsh, File) (ASSOCIATED PRESS)

Alexandra Canal is a senior reporter at Yahoo Finance. Follow her on X @allie_canal, linkedin, and email her at alexandra.canal@yahoofinance.com.

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