US Stocks Rally Ahead Of January Inflation Data

"); jQuery("#212 h3").html("

Related News Programmes

"); });

2023-02-14 HKT 06:07

Share this story

facebook

  • All three major indexes recorded solid gains on Monday. File photo: AFP

    All three major indexes recorded solid gains on Monday. File photo: AFP

Wall Street stocks won solid gains Monday in an optimistic round of trading, ahead of key inflation data that will influence US monetary policy.

Market watchers awaiting Tuesday's consumer price index report have penciled in further moderation, which would ease pressure on the Federal Reserve to prolong interest rate hikes for significantly longer.

The yield on the 10-year US Treasury dipped in a sign traders expect the Fed's rate-hiking streak to end relatively soon.

"It looks as if the market is expecting a little bit of good news on inflation," said Peter Cardillo of Spartan Capital Securities.

The Dow Jones finished up 1.1 percent at 34,245, the S&P 500 also climbed 1.1 percent to 4,137, and the Nasdaq jumped 1.5 percent to 11,891.

Despite Monday's gains, some analysts expressed caution ahead of Tuesday's data.

Stocks were buffeted much of last week by worries that the Fed will enact many more interest rate hikes.

"Pricing pressures are expected to rise last month and we should not be surprised if the Valentine's day inflation report is very hot as used car prices and energy costs clearly rebounded last month," said Oanda's Edward Moya.

"Risky assets could struggle if the bond market sees more traders place bets for much more Fed tightening," he added.

Other economic releases this week include a report on retail sales on Wednesday and housing starts on Thursday, both for January. (AFP)

RECENT NEWS

US Stocks Rise On Hopes Of Pause In Rate Increases

Wall Street stocks finished solidly higher on Thursday, reflecting better sentiment on the US economy and a consensus vi... Read more

China's Financial Risks 'controllable': Regulators

The head of the National Financial Regulatory Administration on Thursday told a high-profile forum in Shanghai that the ... Read more

Banks Cut Yuan Deposit Rates, Could Boost Consumption

China's biggest banks on Thursday said they have lowered interest rates on yuan deposits, in actions that could ease pre... Read more

Cheese And Wine Put EU, Australia Deal In Peril

Australia on Thursday threatened to walk away from a blockbuster free trade deal with the European Union unless its prod... Read more

US Stocks End Mixed As Tech Shares Are Sold Off

Gains by industrial companies lifted the Dow on Wednesday, while weakness among technology shares pushed the Nasdaq deci... Read more

Amazon 'plans Prime Video Streaming Service With Ads'

Amazon.com is planning to launch an advertising-supported tier of its Prime Video streaming service, the Wall Street Jou... Read more