Fresh data released Thursday by the Commerce Department showed U.S. consumer inflation increased slightly less than expected in April, offering some signs of easing price pressures.
According to the report, the personal consumption expenditures (PCE) price index rose 0.4% in April following a 0.7% increase in March. Economists had projected a monthly gain of 0.5%.
On an annual basis, PCE inflation accelerated to 3.8% in April from 3.5% in the previous month, matching market expectations.
The core PCE price index, which excludes food and energy costs and is closely monitored by the Federal Reserve, increased 0.2% in April after rising 0.3% in March. Analysts had expected another 0.3% increase.
Year-over-year core PCE inflation edged up to 3.3% from 3.2%, in line with forecasts.
The inflation figures were included in the Commerce Department’s broader report on personal income and consumer spending.
The report also showed personal income was essentially flat in April after increasing 0.5% in March, while personal spending rose 0.5% following a 1.0% jump in the previous month.