April US CPI Report Shows Inflation Up 0.3%, Softer Than Expected

The Bureau of Labor Statistics reported that the Consumer Price Index climbed 3.4% in April from year-ago levels—a tick down from March’s 3.5% rate. Core CPI, which excludes volatile food and energy costs, rose 3.6% over the last 12 months after rising 3.8% in March.

The CPI climbed 0.3% in April from month-ago levels after rising 0.4% in March. Core CPI also rose 0.3% after rising 0.4% in March. “The index for shelter rose in April, as did the index for gasoline. Combined, these two indexes contributed over 70% of the monthly increase in the index for all items,” the BLS reported.

The April CPI was forecast to show a 0.4% increase from the month before—the same reading in the March report. Meanwhile, core CPI was predicted to decline to 0.3% from 0.4% in March. On an annual basis, the April CPI was forecast to show the annual inflation rate at 3.4% in April from 3.5% in March. Core CPI year over year had been forecast to rise to 3.6% in April from 3.8% in March.

April CPI Report Key Stats

• CPI rose 0.3% for the month after rising 0.4% in March.
• Core CPI climbed 0.3% after increasing by 0.4% in March.
• CPI climbed 3.4% year over year after increasing by 3.5% the prior month.
• Core CPI climbed 3.6% from year-ago levels after growing 3.8% in March.

Food prices stayed level in April after increasing 0.1% in March. Food-at-home prices declined 0.2%, while food-away-from-home (restaurant) prices increased 0.3%. Energy prices were mixed overall after growing 1.1% the prior month. Utility (piped) gas service prices fell 2.9%, fuel oil prices increased 0.9%, gasoline prices rose 2.8%, and electricity prices fell 0.1%. Shelter prices increased by 0.4% after rising the same amount in March.

This article was partially generated by Wordsmith, an automated smart-text platform, using data from the Bureau of Labor Statistics. It has been reviewed by Morningstar editors.