Hope Continues for Pause in Rate Hikes, Stocks Soar - InvestingChannel

Hope Continues for Pause in Rate Hikes, Stocks Soar

Stocks rose Monday as traders hope the Federal Reserve will skip hiking rates when the central bank decides on policy Wednesday.

The Dow Jones Industrials stayed above water 39.9 points to 33,916,68.

The S&P 500 picked up 13.31 points to 4,312.07. Monday’s moves put the S&P 500 back above 4,300, near its highest level since August.

The NASDAQ index grabbed 94.31 points to 13,353,45.

Markets have come to expect that the Fed will skip another rate increase at this week’s meeting, with traders Monday morning pricing in a 74% chance that there will be no hike.

The central bank will ultimately decide to skip a rate hike for June, according to experts, who add the Fed likely isn’t done raising rates overall, however.

Evercore ISI upgraded AutoZone to outperform from in line on Monday, saying it sees the stock’s 6% decline since its May 23 earnings report as an attractive entry point. The Wall Street firm also raised its price target to $2,700 from $2,640, suggesting more than 14% upside from Friday’s close.

Shares for cruise company Carnival were up nearly 10% Monday following an upgrade from JPMorgan to overweight from neutral.

Prices for the 10-year Treasury lost ground, raising yields to 3.78% from Wednesday’s 3.74%. Treasury prices and yields move in opposite directions.

Oil prices slid $2.35 to $67.82 U.S. a barrel.

Gold prices shed six dollars to $1,971.20 U.S. an ounce.

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