US Core CPI Expected to Decrease, Easing Inflation Pressure for Fed; Israel Inflation Slows Despite Conflict

According to the latest information, the overall Consumer Price Index (CPI) in the US is projected to increase by 0.4% in April, marking the third consecutive monthly rise. However, analysts predict that the core CPI, which excludes food and energy costs, will decrease by 0.3% in April after increasing by 0.4% in each of the previous three months. This could provide some relief to the Federal Reserve, as the core CPI is a more closely watched indicator of underlying inflation trends. Inflation in Israel is expected to slow to 2.5%, indicating that the ongoing conflict with Hamas has had little impact on cost-of-living increases. Meanwhile, in Nigeria, consumer price growth is predicted to accelerate to over 34% due to a threefold increase in electricity prices for some urban consumers. Other economies in Africa, such as Angola and Zambia, may also raise interest rates to combat rising inflation. Elsewhere, the war in Ukraine is contributing to rising food and energy prices, which could result in continued inflationary pressures for many countries. Overall, the outlook for inflation remains uncertain, with analysts noting that while core CPI may be decelerating, there are still concerns about overall inflation levels, particularly in the US.