U.S. inflation picture is the worst in almost 4 years

S&P Global surveys showed a pickup in activity in April but a worsening inflation picture — services PMI rose to 51.3 and manufacturing to 54, with manufacturing contacts reporting panic buying and goods-price inflation at a 10-month high and service-sector selling prices at a 45-month high. The data signal stickier inflation pressures that lifted recession/inflation worries, prompting stocks to open modestly lower and the 10-year yield to slip slightly. For gold (XAUUSD), higher-than-expected price pressures and supply concerns tied to the Iran war generally increase safe-haven and inflation-hedge demand, which is a supportive backdrop for bullion.