Federal Reserve

Consumer prices dip 0.3% — largest amount in more than two years

Consumer prices dip 0.3% — largest amount in more than two years

Consumer prices fell in March by the largest amount in more than two years, pushed lower by another sharp decline in the price of gasoline and other energy products.

Consumer prices dropped 0.3% in March following a tiny 0.1% rise in February, the Labor Department reported Friday. It was the first monthly decline in 13 months and the biggest drop since prices fell 0.6% in January 2015. In addition to a big 6.2% fall in gasoline prices, the cost of cellphone plans, new and used cars and clothing were all lower last month.

Core inflation, which excludes volatile food and energy, dropped 0.1% last month. Over the past 12 months, inflation is up a moderate 2.4% while core prices...

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