Labor market participation among people 25 to 54 years old has hit a 15-year high.

Continuing claims (the number of people who have already filed an initial application and are now claiming unemployment benefits) rose to 1.87 million in the week ended April 8.

The report offers glimpses of disinflation ahead, even while highlighting the sticky nature of inflation—particularly within the service sector.

The PCE price index was up 5% from a year earlier, a deceleration from January but still far higher than the central bank's 2% goal.

Consumers' outlook on the economy and jobs rose unexpectedly this month.

In February, housing costs helped deliver a larger-than-forecast 0.5% gain in so-called core inflation, which excludes food and energy

The value of imports increased 3 percent, to $325.8 billion, while exports climbed to $257.5 billion.

"The increase in January's PPI—which rose far more than the estimates, erasing last month's decline—moderates expectations for disinflation over the year ahead."