US Stocks Rebound as Oil Prices Drop, Rate Hike Expectations Rise
The US stock market rebounded on Friday after oil prices dropped to their lowest levels in months. The S&P 500 index rose by 1% and was poised to end a four-day losing streak, its longest since June.
The Dow Jones Industrial Average increased by 575 points or 1.1%, while the Nasdaq composite also gained 1.1%. This upswing in stocks came despite the ongoing war with Iran causing oil prices to surge earlier this week.
A report on inflation showed that US consumers paid 3.4% more for gasoline, food, and other living costs last month compared to a year ago. While still high, this figure was close to what economists had predicted, and the data strengthened expectations among traders that the Federal Reserve will raise interest rates at its meeting next week.