Stocks Rise After November Inflation Report Comes in as Expected
Stocks rose Wednesday after November’s inflation report met economists’ projections, clearing the way for the Federal Reserve to cut interest rates again at its December meeting next week.
The S&P 500 gained 0.6%, and the Nasdaq Composite advanced 1.2%. The Dow Jones Industrial Average traded 52 points lower, or 0.1%.
Nvidia, Tesla and other bull market leaders led the gains following the relatively tame inflation data. The chipmaker was marginally higher, and Tesla advanced more than 1%.
November’s consumer price index, which tracks a basket of goods and services, was in line with expectations. The reading showed a 0.3% rise from October and 2.7% increase from a year ago. Excluding volatile food and energy prices, core CPI increased 0.3% on the month and 3.3% on an annual basis.
While this inflation data represented a quicker pace from the prior month, traders speculated it was still not high enough to keep the Fed from cutting rates at its next gathering. Fed funds futures are pricing in a 99.9% likelihood that the central bank lowers rates at that gathering, according to CME’s FedWatch Tool.
Sumber : CNBC
