WASHINGTON – Consumer prices rebounded moderately in April as energy prices climbed back up after a sharp decline in March.
The Labor Department says consumer prices rose 0.2 percent after a 0.3 percent drop in March, which was the biggest fall in more than two years. Energy prices rose 1.1 percent after tumbling 3.2 percent the previous month.
Core inflation, which excludes the volatile food and energy categories, rose 0.1 percent. Over the past 12 months, inflation is up 2.2 percent. Core prices have risen 1.9 percent.
The Federal Reserve tries to manage the economy so that annual increases in inflation are around 2 percent. The Fed raised its key interest rate in March, and analysts expect another hike in June.