S&P 500 snaps 4-day losing streak, boosted by cooler-than-expected inflation data
The S&P 500 snapped a four-day slide on Thursday, boosted by lighter-than-expected inflation data that brightened the outlook for lower interest rates in 2026 and blowout guidance from chipmaker Micron Technology.
The broad market index jumped 0.8%, while the Nasdaq Composite advanced 1.4%. The Dow Jones Industrial Average gained 66 points, or 0.1%.
The delayed November consumer price index report — the first since the U.S. government shutdown ended last month — showed headline annual inflation of 2.7%, according to the Bureau of Labor Statistics, below the 3.1% that economists polled by Dow Jones had expected. The 12-month rate for core CPI, which excludes food and energy, was 2.6%, was also lower than the Dow Jones forecast of 3%.
The report was pushed back from its original release date of Dec. 10. The BLS had canceled the release of the October inflation report in late November as a result of the longest-ever shutdown, meaning that Thursday’s reading did not have all the usual data points of a standard CPI report.
Given the lack of October comparison data, economists might not place too much significance on this reading as the beginning of a downward trend in inflation, and some have even raised concerns around the calculations for housing inflation. Nonetheless, stocks extended their gains after the report, as initial jobless claims were below what economists had estimated as well.
Source: CNBC.com
