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Home»Stock Market»Wall Street stock indexes hover near record highs, investors focus on inflation data – Firstpost
Stock Market

Wall Street stock indexes hover near record highs, investors focus on inflation data – Firstpost

prosperplanetpulse.comBy prosperplanetpulse.comJune 27, 2024No Comments2 Mins Read0 Views
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The Dow Jones Industrial Average rose less than 0.1%, closing at 39,127.80. The S&P 500 rose 0.2%, closing at 5,477.90. The tech-heavy Nasdaq Composite Index rose 0.5%, to 17,805.16.

A choppy trading session on Wall Street on Wednesday left stock indexes hovering near last week’s highs. Notable moves in individual stocks came following earnings reports.

The Dow Jones Industrial Average rose less than 0.1% to close at 39,127.80, the S&P 500 rose 0.2% to 5,477.90 and the tech-heavy Nasdaq Composite index rose 0.5% to 17,805.16.

Market movers

Shipping giant FedEx Corp. jumped 15.5% after reporting better-than-expected profits thanks to job cuts and other cost-cutting measures, while General Mills Inc. slumped 4.6% after reporting a 6% drop in quarterly sales as price inflation dented demand.

In a notable move, shares of Rivian Automotive soared more than 23% after Volkswagen said it would invest up to $5 billion in the electric car maker and form a joint venture.

Whirlpool rose 17.1%; Reuters German engineering company Robert Bosch is reportedly considering a takeover bid.

Moderna shares fell 11 percent after clinical trials revealed that the effectiveness of its RSV vaccine dropped off sharply after a year.

Amazon’s shares rose 3.9%, pushing its market capitalization past $2 trillion for the first time.

Investors focus on PCE index

Much of Wall Street’s attention this week is focused on the government’s inflation report due out on Friday. The Federal Reserve’s preferred inflation gauge, the personal consumption expenditures (PCE) index, is expected to show a slight decline in inflation to 2.6% in May from 2.7% in April.

The Fed aims to bring inflation down to its 2% target, but inflation has struggled to reach that target, with the PCE hovering just below 3% for several months, and the more widely recognised Consumer Price Index similarly hovering around 3% through 2024, down from a peak of 9.1% in mid-2022.

The latest inflation data could influence the timing of any Federal Reserve cuts to interest rates, which are currently at their highest in more than two decades.

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