Federal Reserve Chairman Sworn In as Inflation Data Shows April Rise

A new Federal Reserve chairman took the oath of office Friday. Officials said the appointee should operate with full independence from political direction. The same statement noted that economic growth can occur without rising prices. Data released afterward showed annual inflation at 3.8 percent for April, the highest reading since 2023.

Core inflation remained at 2.8 percent, above the central bank's 2 percent target. Crude oil prices stayed nearly 50 percent higher than pre-conflict levels. Prediction-market contracts on interest-rate moves priced in a rate increase rather than a cut.

Traders placed higher probability on tighter policy than on easing. Energy producers Exxon Mobil and Chevron face continued cost pressure from elevated crude prices. The same price data will factor into upcoming central-bank decisions.