US stocks and bonds rally as inflation cools, oil spikes
Stocks and bonds in the US made a comeback on Thursday after new inflation numbers helped calm investors.
The Federal Reserve's go-to inflation gage showed consumer prices barely budged last month, while consumer spending, adjusted for inflation, rose just 0.1%.
On the flip side, oil prices spiked 2.3% to $90.73 per barrel thanks to tensions in the Persian Gulf and a shutdown of the Strait of Hormuz.
First quarter growth slows to 1.6%
While overall inflation (PCE) went up 3.8% from last year and core inflation (which leaves out food and energy) rose 3.3%, economic growth for the first quarter slowed to an annualized rate of 1.6%.
Fed Vice Chair Philip Jefferson warned that inflation risks are still hanging around, even as things seem to cool off slowly.
Meanwhile, some big companies like Snowflake and Marvell beat expectations, but gold and crypto took a hit, and CEOs are feeling less confident about what's next.