US inflation finally dips, but still causing pain

Woman hands money for a purchase

WASHINGTON (AP) — Inflation eased slightly in April after months of relentless increases but remains near a four-decade high, imposing a continuing financial strain on American households. Consumer prices jumped 8.3% from a year ago, below the 8.5% year-over-year surge in March.

Still, there are signs that inflation may be becoming more entrenched. Excluding the volatile food and energy categories, so-called core prices jumped twice as much from March to April as they did the previous month.

Inflation could remain high well into 2023, leaving many Americans burdened by price increases that have outpaced pay raises. Especially hurt are lower-income and Black and Hispanic families, who on average spend a greater proportion of their incomes on gas, food and rent.

Related: How higher Fed rates stand to affect Americans’ finances

Related: February: US inflation highest in 40 years


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