April 2026 CPI Update

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Core CPI (which excludes food and energy prices) increased 0.38% in April, above expectations; the year-over-year rate increased 2.75%.

Headline CPI rose 0.64% (+3.81% year over year), reflecting higher energy (+3.8%) and food (+0.5%) prices.

Let’s take a closer look at Goldman Sachs Research’s breakdown of the data from the latest report.

What's up, what's down?

This report included two months’ worth of rent and owners’ equivalent rent (OER) inflation, which went unmeasured 6 months ago because of the federal government shutdown. Rent and OER inflation contributed about 13 basis points more to core CPI in April than their average contribution over the prior three months. 

Meanwhile, lodging, airfares, and household operations each boosted core CPI by about 4 basis points in April:

  • Lodging prices rose 2.4%.
  • Airfares rose 2.8%.
  • Goldman Sachs Research estimates that the household operations category, which the Bureau of Labor Statistics only publishes every few months because of data quality concerns, increased 5.3% month over month. 

Electronics prices increased meaningfully in April (likely reflecting upward pressure on prices from AI-related demand for electronics inputs). 

  • Software and accessories prices rose another 5%. 
  • Computer prices rose 0.9%.

On the softer side:

  • Internet services prices declined 1.4%.
  • New car prices declined 0.2%. 
  • Car rental prices declined 3.7%.

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