As North Korea Row Intensifies, U.S. Stock ETFs Try to Bounce Back

U.S. equities and stock exchange traded funds slightly rebounded Friday but were on track for their largest weekly loss in months on a intensifying row between the U.S. and North Korea.

The S&P 500 Index, along with related funds including the SPDR S&P 500 ETF (NYSEARCA: SPY), iShares Core S&P 500 ETF (NYSEARCA: IVV) and Vanguard 500 Index (NYSEARCA: VOO), were 0.2% higher Friday.

Tepid inflation data helped bring back investors to risk assets, Reuters reports.

The weaker-than-expected consumer price data in July, which reflected depressed inflation, could allow the Federal Reserve to push off another rate hike this year. Options traders were betting on a 40% chance of a rate hike in December, compared to a 42% chance shortly before the release of the inflation data.