Inflation rose to 3.8% in April, highest level in nearly 3 years
NBC News • • general
Key Points:
- Inflation surged to 3.8% in April, marking its highest level in nearly three years, driven largely by rising energy prices amid the war in Iran.
- Core inflation, excluding food and energy, increased by 0.4% month-over-month, exceeding economists' expectations.
- Wage growth has slowed to 3.4% as of March, falling behind the inflation rate and worsening the affordability crisis for consumers.
- Energy prices rose 3.8% in April, accounting for over 40% of the overall inflation increase, with oil prices up more than 70% since the start of the year and gas averaging $4.50 per gallon.
- Other energy-related costs, such as airfares and apparel, also saw significant increases, with airfares rising 20% year-over-year, and further price impacts expected in the coming months.