CPI Rose 4.9% in April from a Year Ago, Tamer-than-Feared

Highlights

• CPI Increases by 0.4% in April: Largest Contributor is Shelter
• Core CPI Rises by 0.4% in April: Used Cars and Trucks Also Up
• All Items Index Increases by 4.9% Over 12 Months Ending in April

Headline CPI

According to the U.S. Bureau of Labor Statistics, the Consumer Price Index for All Urban Consumers increased by 0.4 percent in April on a seasonally adjusted basis, following a 0.1 percent increase in March. Before seasonal adjustment, the all items index went up by 4.9 percent in the last 12 months.

The largest contributor to the monthly increase in all items was the index for shelter, followed by increases in the index for used cars and trucks, and the index for gasoline. The rise in the gasoline index compensated for declines in other energy component indexes, causing the energy index to increase by 0.6 percent in April. The food index remained unchanged in April and March, while the index for food at home declined by 0.2 percent, and the index for food away from home increased by 0.4 percent.

Core CPI

The index for all items except food and energy rose by 0.4 percent in both April and March. Among the indexes that increased in April were shelter, used cars and trucks, motor vehicle insurance, recreation, household furnishings and operations, and personal care. On the other hand, the index for airline fares and the index for new vehicles decreased over the month.

Over the 12 months ending in April, the all items index increased by 4.9 percent, which was the smallest increase since April 2021. The index for all items except food and energy rose by 5.5 percent over the same period. Meanwhile, the energy index decreased by 5.1 percent, and the food index increased by 7.7 percent over the last year.