Inflation cooled to 4.9% in April, down from 5% the month before, but the measure remains high.
The Consumer Price Index for All Urban Consumers rose 0.4% in April on a seasonally adjusted basis. Over the last 12 months, the all-items index increased 4.9% before seasonal adjustment, the U.S. Bureau of Labor Statistics reported Wednesday.
“The index for shelter was the largest contributor to the monthly all items increase, followed by increases in the index for used cars and trucks and the index for gasoline,” according to the U.S. Bureau of Labor Statistics report.
Jason Furman, an economist and Harvard professor, said this month’s data was “mildly reassuring” related to what forecasters expected Tuesday and “terrifying” relative what forecasters expected in February.
“On balance, the underlying detail is less worrisome than the continued very high headline number,” Furman posted on Twitter. “A bottom-up perspective suggests some slowing of inflation from its current pace.”
In March, it had increased 0.1% to 5% over the previous 12 months.
Republished with the permission of The Center Square.
