NASDAQ Leaps Inflation Report - InvestingChannel

NASDAQ Leaps Inflation Report

The NASDAQ Composite 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 Dow Jones Industrial index restrengthened 38.16 points to pause for lunch Wednesday at 44,285.99.

The S&P 500 index regrouped 50.91 points to 6,085.82

The tech-heavy ballooned 312.79 points, or 1.6%, to 20,000.04, smashing the 20K barrier.

Notably, Alphabet gained for a second day on the heels of Google making a breakthrough in quantum computing with its new chip. Other tech giants like Meta and Amazon were also higher.

Nvidia, Tesla and other bull market leaders climbed following the relatively tame inflation data as well. The chipmaker and Tesla ticked up more than 2%.

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

Prices for the 10-year Treasury recovered, lowering yields to Tuesday’s 4.23%. Treasury prices and yields move in opposite directions.

Oil prices progressed $1.42 to $70.01 U.S. a barrel.

Prices for gold jumped $32.80 an ounce to $2,751.20 U.S.

Related posts

Advisors in Focus- January 6, 2021

Gavin Maguire

Advisors in Focus- February 15, 2021

Gavin Maguire

Advisors in Focus- February 22, 2021

Gavin Maguire

Advisors in Focus- February 28, 2021

Gavin Maguire

Advisors in Focus- March 18, 2021

Gavin Maguire

Advisors in Focus- March 21, 2021

Gavin Maguire