Bulls Take Charge: Indices Soar
The S&P 500 and Nasdaq Composite have logged four consecutive winning sessions. Week-to-date performances show:
- Dow Jones Industrial Average: Up 1.9%
- S&P 500: Up 3.5%
- Nasdaq Composite: Up 5.3%
Both the Dow and S&P 500 are on track for their fourth weekly gain in five weeks, while the Nasdaq is set to break its two-week losing streak.
Fed Watch: Rate Cut on the Horizon?
Investors are now looking ahead to the Federal Reserve’s policy meeting on September 17-18. Market expectations largely anticipate a 25 basis point rate cut, with the current target rate at 5.25% to 5.5%.
Recent economic data supports the case for a rate adjustment. The August consumer price index came in at 2.5% on an annualized basis, the lowest since February 2021. Wholesale prices rose 0.2% in August, aligning with expectations.
Dan Greenhaus, chief strategist at Solus Alternative Asset Management, commented on CNBC’s “Closing Bell”: “At the end of the day, the U.S. consumer and the economy continue to do well, [and] profits continue to print above expectations.”
Economic Pulse: Key Data on Deck
Friday’s session will see the release of August’s import prices data and preliminary consumer sentiment figures for September, potentially influencing market direction.