US Stocks Tread Water as Inflation Rate Eases
The US stock market is inching closer to a record high after inflation data showed that prices at the wholesale level rose by 4.7% last month compared to the same period in the previous year.
This marks a decrease from June's 5.5% inflation rate and comes as a relief for investors, with the Federal Reserve potentially holding off on interest rate hikes if inflation continues to trend downwards.
The S&P 500 climbed 0.5%, while the Dow Jones Industrial Average was down 123 points or 0.2%. The Nasdaq composite rose 0.6%.
Treasury yields sank in the bond market, easing pressure on stocks and other investments. Oil prices also eased back, helping to limit worries about inflation.
Real estate companies led the charge, with AvalonBay Communities rising 2.5% and Builders FirstSource adding 1.3%. Fossil Group jumped 4% after reporting better-than-expected quarterly results.