A Measure Of Inflation That Is Closely Tracked By The Federal Reserve Increased In April
May 26, 2023 12:12PM EDT
WASHINGTON (AP) — A key index of U.S. prices ticked higher in April, and consumer spending rebounded, a sign that inflationary pressures in the economy remain high.
The index, which the Federal Reserve closely monitors, showed that prices rose 0.4% from March to April.
That was much higher than the 0.1% rise the previous month.
Measured year over year, prices increased 4.4% in April, up from 4.2% in March.
The year-over-year figure is down sharply from a 7% peak last June but remains far above the Fed’s 2% target.
The report also showed that despite rising prices, consumers remain buoyant.
Their spending jumped 0.8% from March to April, the biggest increase since January.