WASHINGTON - US CONSUMER prices edged slightly higher in May after holding steady in April, government data showed on Wednesday in a report underscoring weak demand amid the prolonged recession.
The Labor Department said its consumer price index (CPI) rose a modest 0.1 per cent from April, according to seasonally adjusted data. The price rise was less than most analysts' expectations of a 0.3 per cent gain.
Overall CPI was unchanged in April after slipping 0.1 per cent in March.
On a 12-month basis, CPI fell for the third straight month in May, by 1.3 per cent, the sharpest annual drop in consumer prices since April 1950.
Core consumer prices, excluding food and energy, also increased 0.1 per cent in May, in line with expectations, after gaining 0.3 per cent in April.
Core inflation was up 1.8 per cent from May 2008, a rate within the economic comfort zone of US monetary authorities. -- AFP
