Inflation rose to the highest level in a year or more in four major metropolitan areas in April, even as prices moderated nationally.
The annual rate reached 4.1% in Philadelphia, 4% in St. Louis and 3.8% in both New York and San Francisco — all above the U.S. average — according to Bureau of Labor Statistics data released Wednesday.
The drivers varied from one city to another, but generally energy and housing costs were responsible for higher prices in New York, San Francisco and Philadelphia.
Consumer price growth also accelerated in Detroit in April, meaning the inflation pace is rising in the largest cities in Michigan and Philadelphia — two key swing states in the 2024 presidential election — with the economy and costs of living playing a major role in the race.
Food and beverages were also among the drivers behind higher inflation in both New York and St. Louis, while clothing prices jumped in San Francisco.
Phoenix, the largest city in swing-state Arizona and once an inflation hotspot, had the lowest annual inflation rate of the cities that reported April data, at 2.6%.
Overall, the annual inflation rate moderated slightly to 3.4%. A measure of underlying inflation that excludes volatile food and energy items also decelerated — a small step in the right direction for Federal Reserve officials looking to start cutting interest rates this year.
Mark Niquette, Bloomberg , 2024-05-15 21:43:09
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