U.S. consumer spending growth slowed in April, inflation fell to a four-year low.

Gate News bot message, data shows that after experiencing the strongest month of consumer spending since the beginning of 2023, American consumers began to slow down spending in April, while inflation remains mild, which aligns with the situation of economic slowdown.

Compared to the same period last year, the core PCE price index in the U.S. recorded a year-on-year increase of 2.5% in April, marking the smallest annual increase in over four years. These data reveal the potential anxiety many American consumers have about the economy after the weakest consumption quarter in nearly two years. Although high tariffs on imported goods have not yet been widely reflected in rising prices, consumer sentiment has significantly declined, and personal financial prospects are at historically low levels.

Another piece of data released on Friday showed that the U.S. goods trade deficit narrowed significantly in April, due to the largest decline in import volume on record (imports fell 19.8% month-on-month, the largest drop on record).

Data source: Jinshi