US Stock Market Soars as Inflation Rates Slow Down

The US stock market is poised to reach new heights after data showed inflation rates slowing down. The S&P 500 rose by 0.4% and approached its record set last week, while the Dow Jones Industrial Average was up 133 points or 0.2%. The Nasdaq composite also saw a 0.4% increase.

The latest report on wholesale prices showed a 4.7% inflation rate, lower than June's 5.5% and slightly better than economists' expectations. This has led traders to bet on a reduced chance of the Federal Reserve hiking interest rates in September, with only a 32% probability now.

The easing of oil prices also contributed to the market's optimism, with Brent crude falling by 2.5% to $86.75. Stocks of companies with significant fuel costs rose as a result, including United Airlines and Carnival. However, Cisco Systems saw a decline despite reporting stronger profit and revenue.