The S&P 500 gained 0.3% on Friday, supported by data showing slowing inflation. The Nasdaq Composite increased by 0.1%, while the Dow Jones Industrial Average rose by 0.4% or 177 points.
The Commerce Department reported that May’s core personal consumption expenditures (PCE) price index, the Federal Reserve’s preferred inflation measure, rose only 0.1% monthly and 2.6% annually. Headline PCE, including food and energy, remained flat monthly and up 2.6% yearly, both aligning with expectations.
Market participants are closely monitoring inflation data to anticipate the Fed’s next move on interest rates, with a 59.5% chance of a rate cut in September being priced in. This marks the end of a strong first half of 2024 for the markets.
Tags: #SP500 #Inflation #FederalReserve #MarketUpdate #EconomicData
