US CPI rose 3.8 percent year over year in April, above expectations of 3.7 percent and the prior reading of 3.3 percent, hitting its highest level since June 2023. Core CPI rose 2.8 percent year over year, also above forecasts. Energy prices, with gasoline up 28.4 percent, were the main driver. With inflation proving more stubborn than expected, market expectations for Fed rate cuts this year have further cooled, pointing to a longer period of high interest rates.

















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