S&P 500 and Nasdaq Rise on Weaker PCE Data, Boosting Rate-Pause Expectations
Gains in S&P 500 and Nasdaq on Lower Inflation Hopes, But Wall Street Faces Quarterly Declines Amid Rate Uncertainty
Day: 29 September 2023
British Stocks Wrap Up the Quarter on a Positive Note Thanks to Strong Domestic Growth
British stocks closed the final quarter of September on a positive note, led by mid-cap stocks, as new data revealed stronger-than-expected second-quarter economic growth, though the FTSE 100’s year-to-date gains lagged behind the broader European STOXX 600 index.
August Sees Subsiding Inflation Pressure in the United States
In August, US inflation, excluding food and energy, slowed to just under 4.0%, offering hope for the Federal Reserve. However, overall prices, driven partly by higher gasoline costs, remain elevated. Economists predict slower economic growth, possibly delaying Federal Open Market Committee rate hikes for the rest of 2023. The core PCE price index in August rose by 0.1%, marking the first time below 4.0% since June 2021. Policymakers watch the ‘super core’ measure closely to gauge their inflation-fighting progress.