AI Data Insight
Latest data shows the US Q1 2026 PPI YoY rose to 4.0%, up from the previous reading of 3.4%, but significantly lower than the market expectation of 4.6%. Although the Middle East conflict caused energy prices to surge, service sector costs unexpectedly remained flat, successfully preventing inflation from spreading more broadly. This data alleviates the tightening pressure on the Federal Reserve and is expected to support the performance of risk assets in the short term.