Inflation cooled but tariff uncertainty grows

Consumer price inflation cooled more than expected in March, easing pressure on Americans as the economy braces for new trade tensions. 

The Bureau of Labor Statistics reported that the consumer price index (CPI) fell 0.1% from February, bringing the annual inflation rate down to 2.4%, compared to 2.8% the month before.

Core inflation, which excludes food and energy, increased only 0.1%, the lowest rise since March 2021. Gas prices dropped 6.3%, pulling energy costs down by 2.4%. 

Meanwhile, food prices rose 0.4%, with egg prices jumping 5.9%—now 60.4% higher than a year ago. Airline fares fell 5.3% and used car prices dropped 0.7%. Shelter prices rose just 0.2%.

Stock markets dipped after the report, while investors remained cautious over President Donald Trump’s shifting tariff plans and interest rate uncertainty.