U.S. consumer prices rebounded moderately in April as declining food costs partially offset rising rents, leading to the smallest annual increase in four years, but the inflation outlook remains unclear against the backdrop of tariffs.

Prices for other foods declined in April. Inflation in the fresh fruits and vegetables group dropped by 0.7%, with lettuce and tomato prices both down by over 6%. Dried beans, peas and lentils, however, were up by nearly 6%, underscoring the volatile nature of food prices.

Today’s inflation report was a positive one for Wall Street—but professional investors say it is too soon to gauge how President Trump’s trade policy has impacted prices. “Bottom l

Rents and home prices aren’t going up like crazy anymore, but they are still one of the biggest sources of U.S. inflation.

WPI inflation eased to a nine-month low of 0.85% in April, down from 2.05% in March, driven by falling fuel prices and moderated food inflation. With global commodity prices stable, analysts expect wholesale inflation to remain subdued in FY26,

The latest consumer-price index is expected to show prices rose 2.4% in the 12 months through April, the same rate as a month earlier. Check out below how inflation has tracked in recent years:

If you haven't seen the latest inflation data, the general idea is that prices are rising more slowly than expected. Not only is this the lowest inflation figure since early 2021, but it was one-tenth of a percentage point lower than economists had expected.

Federal Reserve Vice Chair Philip Jefferson said Wednesday that if the tariffs already unveiled by President Trump are sustained it will cause "at least" a temporary increase in inflation.