Reported 7 months ago
The US Consumer Price Index (CPI) for May unexpectedly remained flat compared to April, with a lower annual increase than anticipated. The cooling inflation trend has reignited hopes among investors for faster and larger rate cuts by the Federal Reserve this year. Pre-market trading in US stocks saw a rise, with the Dow Jones up over 200 points. The unexpected CPI data has led economists to believe that the Fed may start rate cuts earlier than expected. The upcoming Fed rate decision announcement is expected to maintain rates but provide insights into economic trends and the timeline for rate cuts. The Dow Jones Industrial Average rose 0.6% before the market opened, the S&P 500 rose 0.7%, and the Nasdaq Composite surged 0.9% following the May CPI data release.
Source: YAHOO