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U.S. Inflation Rises 0.2%, Fed Cautious Amid Tariffs

5/13/2025

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Summary

Story summary

U.S. inflation increased by 0.2% in April, with an annual rate of 2.3%, the lowest since early 2021.
Core inflation held steady at 2.8%, driven by rising housing and energy costs.
Economists anticipate a rise in consumer prices linked to Trump's tariffs, despite recent U.S.-China tariff reductions.
The Federal Reserve is cautious, focusing on controlling inflation while addressing unemployment concerns.

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Story summary

U.S. inflation increased by 0.2% in April, with an annual rate of 2.3%, the lowest since early 2021.
Core inflation held steady at 2.8%, driven by rising housing and energy costs.
Economists anticipate a rise in consumer prices linked to Trump's tariffs, despite recent U.S.-China tariff reductions.
The Federal Reserve is cautious, focusing on controlling inflation while addressing unemployment concerns.