The annual inflation rate fell to 2.3% in April, compared to 2.4% in March, which is lower than analysts' expectations (2.4%).
- On a monthly basis, prices rose by 0.2%, outperforming expectations of 0.3%, but indicating relative stability compared to a decline of 0.1% in March.
2. Core inflation is stable:
- Core inflation (excluding food and energy) increased by 0.2% month-on-month and 2.8% year-on-year, the same rate as March, reflecting a partial control of inflationary pressures.
3. The Fed is cautious and taking a "wait and see" approach:
- Goolsbee noted the "cloudy" economic outlook due to the effects of tariffs and trade negotiations, emphasizing that long-term decisions are difficult amid current volatility.
- The Fed has not changed interest rates since December 2024, and it is likely to maintain stability until the outcomes of trade policies become clearer.