US inflation eases to 3.4% YoY in April 2024

May 16, 2024 (MLN): The U.S. consumer price index (CPI) for April 2024 rose by 3.4% YoY, as compared to the 3.5% YoY in March, in line with the market expectations of 3.4%, the latest data issued by the U.S. Bureau of Labor Statistics showed.

On a sequential basis, US CPI rose by 0.3% MoM, lower than the increase of 0.4% in the previous month, as well as the market expectations of 0.4%.

This was the first cooler than expected inflation report in six months.

Core CPI rose 3.6% YoY. That compares with an increase of 3.8% YoY a month earlier, but in line with market expectations.

On a monthly basis, Core CPI rose 0.3% MoM, down from an increase of 0.4% a month earlier, but in line with market expectations.

To note, CPI in the last year, April 2023 stood at 4.9% YoY, showing that the Federal Reserve with its fast-paced rate hikes and balance sheet reductions has been successful in curbing inflation to some extent.

However, it still remains above the country's 2% inflation goal.

CPI is a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services.

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