Consumer prices climbed 4.9% in April — the first time annual inflation has fallen below 5% in two years. The consensus among Wall Street analysts was for prices to show another 5% annual increase — the same as in March, according to the Bureau of Labor Statistics. Despite the welcome progress, inflation is still proving difficult to conquer. "We’re in a robust demand environment," Neil Dutta, the head of economic research at Renaissance Macro Research group, said in an interview. "And one reason for that is that labor markets are very tight" — meaning demand for workers exceeds the supply of available ones. ... (full story)