U.S. consumer prices rebounded moderately in April as declining food costs partially offset rising rents, leading to the smallest annual increase in four years, but the inflation outlook remains unclear against the backdrop of tariffs.

Prices rose more slowly in April, marking another month of cooling inflation. Consumer prices rose just 0.2% from March, and they are up 2.3% from a year ago. That's the lowest annual increase since February 2021.

Inflation cooled for the third straight month in April even after some of President Donald Trump’s tariffs took effect, though economists and many business owners expect inflation will climb by this summer.