The USA inflation beat expectations in April

The USA Department of Labor announced inflation data for April.

Accordingly, the cost of living of American consumers increased by 0.3 percent in April compared to the previous month.

CPI, which followed a course above market expectations, was expected to increase by 0.2 percent in this period. CPI had increased by 1.2 percent monthly in March.

Energy prices fell on a monthly basis
CPI in the country increased by 8.3 percent on an annual basis in April, exceeding market expectations. Expectations were for the CPI to increase by 8.1 percent year-on-year in April.

While annual inflation slowed down in April, it reached the peak of 41 years with 8.5 percent in March.

In the said period, the increases in the prices of housing, food, flight tickets and new vehicles were effective in the rise in consumer prices.

The housing index rose 0.5 percent month-on-month and 5.1 percent year-on-year in April. In the same period, the food index increased by 0.9 percent monthly and 9.4 percent annually. The increase in new vehicle prices, on the other hand, reached 1.1 percent monthly and 13.2 percent annually in April.

In this period, while energy prices decreased by 2.7 percent on a monthly basis, they increased by 30.3 percent annually. Drawing attention with its recent increase, gasoline prices decreased by 6.1 percent on a monthly basis in April and increased by 43.6 percent annually.

Core inflation also exceeded expectations
Core CPI, which does not include variable energy and food prices, increased by 0.6 percent monthly and 6.2 percent annually in April, exceeding market expectations.

In the said period, market expectations regarding core inflation were to increase by 0.4 percent monthly and 6 percent annually. Core CPI increased by 0.3 percent monthly and 6.5 percent annually in March.

Analysts, despite the slowdown in April, inflation; He stated that it is unlikely that it will decrease to pre-epidemic levels in the near future, and that the US Federal Reserve (Fed) will remain above the 2 percent target for a long time due to the continuing supply cuts and the continuation of the rise in energy and food prices.