US stocks rally on easing inflation data, S&P 500 hits record high
· Business · AP News, LiveMint
Major US stock indexes rallied on Wednesday, with the S&P 500 closing at a record high after better-than-expected inflation data. The Dow Jones Industrial Average rose 0.6 percent to 43,721, while the tech-heavy Nasdaq Composite gained 0.9 percent. The rally was driven by cooling consumer price pressures, which reduced expectations for aggressive Federal Reserve interest rate cuts later this year. All three major indexes posted gains, marking a positive close to the trading session.
Why it matters
Cooling inflation data reduces pressure on the Federal Reserve to maintain restrictive monetary policy, potentially stabilizing borrowing costs for consumers and businesses.
Read the original report — AP News
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