Inflation stayed high last month, compounding the challenges facing the U.S. economy

A cart holding groceries is pushed through a supermarket in Bellflower, Calif., on Monday, Feb. 13, 2023. On Wednesday, the Labor Department reported on U.S. consumer prices for April. (AP Photo/Allison Dinner, File)

Inflation remained stubbornly high last month after more than a year of rising interest rates.

The Labor Department said Wednesday that consumer prices in April were 4.9% higher than a year ago, a slightly smaller annual increase than the 5% rate in March.

It’s a challenging crossroads for policymakers, caught between persistently high prices and the rising risk of recession.