Egg and milk prices fall, fueling hope for interest rate cuts

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Inflation eased last month, according to a report Wednesday from the Labor Department, which means people feeling stretched by high prices and high borrowing costs could feel a little relief soon.

Grocery prices fell in April as overall inflation cooled. Milk prices dropped 0.8% while egg prices declined 7.3%.

"Core" inflation, which strips out volatile food and energy prices, was 3.6% in April — the lowest reading in three years. The Dow Jones Industrial Average rose nearly 350 points or 0.88%, and all of the major stock indexes closed at record highs.

 

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