The inflation rate has finally fallen for the first time in a year to 8.3% from 8.5% in March according to the just released data by the US Bureau of Labor Statistics.
Energy costs saw one of the biggest decline in April with the price for used cars and clothes falling as the Bureau says:
“The energy index declined 2.7 percent in April after rising 11.0 percent in March. The gasoline index declined in April, falling 6.1 percent after increasing 18.3 percent the prior month.”
That’s after rising over 30% in the past 12 months, suggesting the upper range may have been reached for gas prices.
Inflation overall rose by just 0.3% in April, the Bureau said, compared to an increase of 1.2% in March.
That may indicate the rise in the inflation rate is over, with it now starting to decline. Something that should feed into the calculations of whether Fed will move further on interest rates depending on the readings for the next two months.