Nasdaq ekes out slight gain in final minutes of trading, S&P 500 advances for fifth session
U.S. stocks finished higher on Wednesday, with the S&P...
U.S. stocks finished higher on Wednesday, with the S&P 500 and Nasdaq Composite scoring their fifth consecutive trading day of gains after a mild July consumer-price index reinforced expectations for a September rate cut by the Federal Reserve.
Based on preliminary data, the Dow Jones Industrial Average closed up by 242.75 points, 0.6%, at 40,008.39. It was the index's second straight session of gains.
The S&P 500 closed up by 20.78 points, or 0.4%, at 5,455.21.
The Nasdaq Composite eked out a slight gain in the final minutes of trading to finish higher by 4.99 points at 17,192.60.
"July’s inflation data was remarkably as expected," said BMO Capital Markets rates strategists Ian Lyngen and Vail Hartman. "Had the Fed not already set the stage for a cut in September, this CPI print would have solidified one."
Big-picture view of CPI: U.S. inflation continues to cool. But hot spots remain
Inflation has cooled considerably over the past year,...
Inflation has cooled considerably over the past year, but there are still a few hot spots. The biggest is the cost of shelter - rent and housing. It accounted for about 90% of the increase in the consumer price index in July.
Still, the report is unlikely to prevent the Federal Reserve from reducing interest rates in September as widely expected.
The big question for investors is whether it will be a 1/4-point cut or a larger 1/2-point reduction. The July CPI probably doesn't settle the question.
For now, betting markets suggest a smaller cut is more likely.
Sam Altman-backed startup Heimdal has opened the largest US carbon dioxide...
Sam Altman-backed startup Heimdal has opened the largest US carbon dioxide capture facility in Shidler, Oklahoma, capable of removing 5,000 tons of CO2 annually at a cost of less than $200 per ton. The company channels the captured gas into enhanced oil recovery, setting it apart from competitors who focus solely on CO2 storage.
Nearing hurricane strength, Tropical Storm Ernesto is projected to bring...
Nearing hurricane strength, Tropical Storm Ernesto is projected to bring heavy rain and cause power outages as it skirts Puerto Rico today. It could also bring dangerous rip currents along the East Coast next week.
The numbers: Applications for mortgages surged as homeowners jumped on lower rates to refinance their home loans.
The 30-year mortgage rate fell for the second week to the lowest level in a year.
The drop in rates pushed the market composite index — a measure of mortgage-application volume — up last week, the Mortgage Bankers Association said Wednesday.
The market index rose 16.8% weekly to 251.3 for the week ending August 9. A year ago, it stood at 193. The index is now at its highest level since January 2023.
