US Q1 GDP Rebounds 2.0%, S&P 500 Breaks Record at 7,230

BEA released Q1 2026 GDP advance estimate at 2.0% annualized, falling short of consensus 2.3% but accelerating from Q4 2025's 0.5% amid shutdown effects. On the same day, S&P 500 rose 0.29% to close at record 7,230.12, with April posting the best monthly return since 2020. However, PCE deflator surged from Q4 2.9% to Q1 4.5%, more than double the Federal Reserve's 2% target, raising stagflation concerns.