The inflation rate was little changed from March to April, a potential sign that the rapid growth in the cost of goods and services may soon taper off.

    Consumer prices rose 0.3 percent in April after rising 1.2 percent in March, according to data released by the U.S. Bureau of Labor Statistics on Wednesday. Compared with one year ago, the inflation rate grew 8.3 percent in April. The number in March was 8.5 percent.

    April’s core inflation measure — the change in the price of goods and services not including food and energy — was 0.6 percent compared to 0.3 percent one month ago in March.

    The numbers indicate that inflation, which has been sitting at a 40-year high since December 2021, is showing signs of cooling off. But some experts warn that it may be too soon to tell where inflation goes from here.

    And households are still feeling the squeeze of rising prices. The largest increases for April were seen in airfares, food including meat and bread, shelter and new vehicles. 

    Airfares climbed nearly 19 percent on the month. Research group Capital Economics noted that airfares have now surged nearly 35 percent over the past three months — likely a reflection of higher fuel costs, it said. 

    Although in April gas prices declined 6.1% over the previous month, prices at the pump were already back at all-time highs this week — recent information not reflected in Wednesday's data release.

    Following the BLS report Wednesday, economists said they remain concerned that prices are not decelerating as rapidly as hoped.

    “The pace of price increases moderated, but not as much as expected," said Greg McBride, chief financial analyst at financial services group Bankrate.com, in a note following Wednesday's release. 

    "Excluding a decline in energy prices — which appears outdated by this point — the increases remain widespread. With the annual rate ticking down from 8.5 percent to 8.3 percent, it can be tempting to say we’ve seen the peak, but we’ve also been head-faked before as was the case last August.” 

    The pick-up in core inflation in April could mean the Federal Reserve will consider increasing interest rates more aggressively, said Andrew Hunter, senior U.S. economist at Capital Economics research group.

    "Overall, the April data will probably strengthen the Fed’s resolve to continue hiking rates by (0.5 percent) at the next couple of meetings — and could lead to renewed speculation about a (0.75 percent) hike or an inter-meeting move," Hunter wrote in a new note to clients. "But with goods shortages tentatively easing and signs that wage growth is set to cool, we still think a more pronounced drop back in inflation will allow officials to slow the pace of tightening in the second half of the year."