U.S. CPI April rises 3.8% y/y

The U.S. Bureau of Labor Statistics said on May 12 that the consumer price index rose 3.8% in April from a year earlier, up from 3.3% in March. The monthly increase was 0.6% on a seasonally adjusted basis, after a 0.9% rise in March. Core CPI, which excludes food and energy, rose 0.4% in April and was up 2.8% from a year earlier. The April report showed inflation pressure was not limited to one category. BLS said the energy index rose 3.8% in April and accounted for more than 40% of the monthly increase in all-items CPI. Food prices rose 0.5% over the month, with food at home up 0.7% and food away from home up 0.2%, while shelter increased 0.6%. (bls.gov) ### Where did the April jump come from? Energy prices were a central driver in the April CPI report. BLS said the gasoline increase helped push the energy index up 3.8% for the month, making it the largest contributor to the all-items gain. Shelter also continued to rise, adding another large component to the monthly increase. (bls.gov) Food prices also moved higher in April. BLS said the overall food index rose 0.5%, with grocery prices increasing faster than restaurant prices. The 0.7% rise in food-at-home prices matched one of the figures highlighted in the APM Research post that circulated after the release. ### What did core inflation show beneath the headline number? (bls.gov) Core CPI rose 0.4% in April on a seasonally adjusted basis. Over 12 months, the all-items-less-food-and-energy index increased 2.8%, according to BLS. That meant headline inflation accelerated more than core inflation on an annual basis, reflecting the larger contribution from food and energy categories in the latest month. (bls.gov) BLS’s latest-numbers page listed all-items CPI at 3.8% year over year and core CPI at 2.8% year over year for April. The same page showed all-items CPI up 0.6% seasonally adjusted in April and core up 0.4%. ### Did producer prices point the same way? The U.S. producer price index also moved higher in April. BLS said on May 13 that final demand PPI increased 1.4% for the month, after gains of 0.7% in March and 0.6% in February. (bls.gov) On an unadjusted basis, producer prices were up 6.0% from a year earlier, the largest 12-month increase since December 2022. (bls.gov) Services led much of that increase. BLS said final demand services rose 1.2% in April and final demand goods increased 2.0%. Those figures aligned with the broader picture in consumer prices, where fuel, food and other input-sensitive categories were already moving higher. ### How does this compare with the prior month? (bls.gov) March CPI had shown a 3.3% year-over-year increase, according to the BLS CPI home page, before April rose to 3.8%. The monthly pace also cooled only slightly, from 0.9% in March to 0.6% in April, leaving inflation running above the earlier 2026 readings shown on the same BLS page. The April CPI release was published on May 12, and the April PPI release followed on May 13. (bls.gov) BLS’s economic news calendar shows those reports as the latest major inflation releases, with the May 2026 CPI report scheduled for June 10. (bls.gov 1) (bls.gov 2)