Wall Street ended in positive territory on Wednesday (14/08/24), where the S&P500 and NASDAQ recorded a winning streak of 5 consecutive sessions, on the back of US CPI (Jul) data released as expected further convincing investors that the Federal Reserve will be able to start cutting US interest rates next month.
Bond yields fell in Tuesday’s trading (13/08/24) after data showed US PPI rose below forecast in July, reinforcing market expectations that cooling inflation will allow the Federal Reserve to cut interest rates soon.
Stock markets jumped and bond yields fell in Tuesday’s trading (13/08/24) after data showed US PPI rose below forecast in July, reinforcing market expectations that cooling inflation will allow the Federal Reserve to cut interest rates soon.
CPI data is expected to show Inflation increased 0.2% in July, but remained unchanged at 3% on an annualized basis. Money markets are now pricing in the chance of a 25 or 50 bps cut in US interest rates in September, with a total easing of 100 bps by the end of 2024, according to the CME FedWatch survey.
Wall Street closed mixed on Monday (12/08/24) as investors braced for a slew of US economic data this week especially Inflation, to assess the Federal Reserve’s monetary policy outlook.
US IN RECESSION? LET’S WAIT AND SEE…
Positive market sentiment came from a trio of Federal Reserve policymakers who indicated on Thursday that they were more confident inflation was cooling enough to lower interest rates.
All three major Wall Street indices closed last week in positive territory after a volatile morning session, managing to recover most of the positions that had collapsed in the past week due to the sell-off that began last Monday.
Better-than-expected labor market data, easing fears of a US recession. Labor data showed the number of Americans filing jobless claims reached 233,000 for the week ending August 3.
