The first hints of the impact of Donald Trump’s far-reaching tariffs are expected to show up in US inflation when figures for April are published next week.
Economists polled by Bloomberg are forecasting Tuesday’s data will show annual consumer price growth of 2.4 per cent, unchanged from March.
However, the month-on-month rate is expected to climb to 0.3 per cent after a 0.1 per cent decline in prices in the previous month. The anticipated increase is partly a result of rising demand for cars as buyers tried to act ahead of the introduction of tariffs, according to analysts at Bank of America.
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