US inflation falls unexpectedly

Inflation in the US unexpectedly weakened further.

Consumer prices in April rose 2.3 percent year-on-year, according to the Labour Department in Washington. In March, the inflation rate was 2.4 percent. This is the third consecutive decline in inflation, after it started the year at 3.0 percent in January. Economists had expected stagnation in April.

Falling energy prices again slowed inflation. Petrol prices, in particular, fell sharply, by almost 12 percent year-on-year. The core inflation rate, which excludes volatile energy and food prices, remained at 2.8 percent in April, as expected.

Compared to the previous month, consumer prices in the largest economy rose by 0.2 percent overall, after falling slightly in March. An increase of 0.3 percent had been forecast here.