An inflation gauge closely tracked by the Federal Reserve rose 6.3 percent in April from a year earlier, just below a four-decade high set in March and the first slowdown since November 2020.
A worrisome bout of inflation struck the economy in April, with U.S. consumer prices for goods and services surging 0.8 percent, the largest monthly jump in in more than a decade.
Tuesday’s Consumer Price Index report indicated inflation may be cooling down; consumer price inflation was 2.2 percent year-over-year in February. Following this news, the 10-year Treasury fell slightly. Mortgage rates followed Treasurys and ended a nine-week surge. The U.S. weekly average 30-year fixed mortgage rate fell 2 basis points to 4.44 percent in this week’s survey, its first decline this year.
U.S. consumer price growth slowed in February amid a decline in gasoline prices and a moderation in the cost of rental accommodation, the latest indication that an anticipated pickup in inflation probably will be only gradual.
