- The S&P 500 ended up 0.3% at 3,141.63
- DJIA, added 30 points or 0.1%, to end near 27,911.30.
- Nasdaq Composite ended 0.4% higher to close at 8,654.05.
US benchmarks rallied from session lows on Wednesday and ended higher thanks to a late turn-around in the Federal Reserve event whereby Fed Chairman, Jerome Powell, emphasised the need for higher inflation to warrant a move up in the interest rates. Consequently, the S&P 500 ended up 0.3% at 3,141.63 while the Dow Jones Industrial Average, or DJIA, added 30 points or 0.1%, to end near 27,911.30. The Nasdaq Composite ended 0.4% higher to close at 8,654.05.
While the Fed held interest rates have been held, the so-called dot plot did not signal further moves in 2020 and thus a hawkish spin on the event was first traded. However, Powell's repeat of the "We've just touched 2% core inflation to pick one measure, & then we've fallen back. So, I think we would need to see a really significant move up in inflation that's persistent before we would even consider raising rates to address inflation concerns," from the October 30 FOMC press conference in today's sounded-off the potential for financial conditions to stay accommodative for many years to come, which helped bolster sentiment on Wall Street.
US data in focus
Meanwhile, data beforehand showed that the US Consumer Price Index climbed 0.3% MoM in November, following on from the 0.4% rise in October. That brought the headline rate up to 2.1% y/y. Core CPI (ex-food and energy) rose 0.2% m/m, which saw annual core inflation steady at 2.3% y/y. Core has averaged 0.2% m/m over the past six months. Inflation is at target on this measure, supporting the Fed’s ‘on-hold’ stance.
|Today last price||27918|
|Today Daily Change||-4.00|
|Today Daily Change %||-0.01|
|Today daily open||27922|
|Previous Daily High||27954|
|Previous Daily Low||27722|
|Previous Weekly High||28206|
|Previous Weekly Low||27324|
|Previous Monthly High||28196|
|Previous Monthly Low||27058|
|Daily Fibonacci 38.2%||27865.38|
|Daily Fibonacci 61.8%||27810.62|
|Daily Pivot Point S1||27778|
|Daily Pivot Point S2||27634|
|Daily Pivot Point S3||27546|
|Daily Pivot Point R1||28010|
|Daily Pivot Point R2||28098|
|Daily Pivot Point R3||28242|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.