Oil prices soar, the preferred inflation indicator of the Federal Reserve rises to near a three-year high.

Data released by the US Department of Commerce on Thursday showed that gasoline prices are rising rapidly, pushing the Federal Reserve's preferred inflation measure - the PCE Price Index - to a year-on-year rate of 3.5% in March, the highest level in nearly three years. The data shows that the US PCE Price Index rose by 0.7% in March, up from 0.4% in February, and the year-on-year rate jumped from 2.8% to 3.5%, marking the fastest pace since May 2023. The conflict in the Middle East has disrupted oil trade, causing energy prices to surge sharply, which is the main reason for the sudden spike in inflation.