Key Takeaways Consumer prices stayed flat in March, in line with forecaster expectations, as a drop in gas prices kept overall inflation tame.Wednesday's report on Personal Consumption Expenditures provided a snapshot of the economy ahead of President Donald Trump's tariff campaign.

Inflation slowed down in March, going by the Federal Reserve's preferred gauge, showing that price pressures were easing before President Trump's steep new tariffs landed earlier this month. The personal-consumption-expenditures price index rose by 2.

U.S. consumer spending increased solidly in March as households boosted purchases of motor vehicles to avoid higher prices and shortages due to tariffs, but that did little to change economists' views that the economy had shifted into lower gear.