Wholesale prices dip 0.1 percent in April

By MARTIN CRUTSINGER AP Economics Writer

WASHINGTON (AP) - Prices at the wholesale level fell in April, reflecting declines in energy and food.

The Labor Department says wholesale prices edged down 0.1 percent last month, the second decline in the past three months. Core inflation, which excludes energy and food, rose 0.2 percent, slightly faster than expected. But over the past year, core prices are up just 1 percent.

The absence of inflation pressures means the Federal Reserve can continue to keep interest rates at record lows to bolster the economic recovery.