The dollar fell and major U.S. stock indexes rose on Tuesday on news that U.S. consumer inflation picked up less than expected in April when President Donald Trump unveiled a raft of tariffs that has wreaked havoc on global markets.

Oil prices edged higher on Tuesday, with gains capped by rising supplies and caution over whether the pause in the U.S.-China trade war will lead to a longer-term deal.

US inflation rose by less than forecast in April amid tame prices for clothing and new cars, suggesting little urgency so far by companies to pass along higher tariffs.

inflation rose by 2.3% year over year and 0.2% month over month in April, the slowest pace since 2021.

US Treasuries gained after a closely watched inflation report came in below expectations, offering support for wagers on at least two Federal Reserve interest-rate cuts this year.