inflation, tariff and grocery and gas prices
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DAX gains as US-China tariff pause lifts sentiment; traders eye ZEW sentiment forecast and US CPI for direction. EU trade tensions may cap upside.
The consumer price index rose a seasonally adjusted 0.2% for the month, putting the 12-month inflation rate at 2.3%, its lowest since February 2021. The core CPI also increased 0.2% for the month, while the year-over-year level was 2.
U.S. consumer prices rebounded moderately in April, but inflation is likely to pick up in the coming months as tariffs boost the cost of imported goods.
The latest US consumer inflation report revealed easing prices in April as euphoria over the US-China trade truce faded.
US economic outlook improves, inflation forecasts drop and recession odds fall after US-China trade deal to reduce the highest tariffs for 90 days.