Traders work on the floor at the New York Stock Exchange in New York City, U.S., Sept. 10, 2025.<\/p>\n
Brendan McDermid | Reuters<\/p>\n
Stocks rose on Thursday as traders anticipated that the latest reading of a key consumer inflation gauge won’t stand in the way of the Federal Reserve lowering its benchmark interest rate next week.<\/p>\n
The Dow Jones Industrial Average<\/a> gained 602 points, or 1.2%, while the S&P 500<\/a> climbed 0.8%. The Nasdaq Composite<\/a> advanced 0.7%. All three major averages scored new intraday all-time highs in the trading day.<\/p>\n It was a confusing batch of numbers, with the consumer price index reading for August<\/a> coming in hotter than expected on a monthly basis but in line with expectations on an annual basis.<\/p>\n The CPI reading showed an increase of 0.4% for the month, according to the Bureau of Labor Statistics, higher than the 0.3% that economists polled by Dow Jones were expecting. However, the index recorded 2.9% on a 12-month basis, as expected. Additionally, the so-called core CPI, which excludes volatile food and energy, increased 0.3% in August and 3.1% from a year ago. Both were in line with the Dow Jones forecasts.<\/p>\n The report also comes a day after the producer price index showed an unexpected decline<\/a> of 0.1% on the month.<\/p>\n Meanwhile, the labor market received yet another sign that it’s slowing, as weekly jobless claims saw a surprise jump Thursday after job growth figures were revised down<\/a> earlier this week. Workers filing for unemployment compensation for the week ended Sept. 6 increased 27,000 from the previous period to a seasonally adjusted 263,000, the highest level since October 2021. That’s more than the 235,000 that was penciled in.<\/p>\n Treasury yields fell Thursday in the wake of the data releases, with the yield on the benchmark 10-year Treasury<\/a> dropping to 4%<\/a>.<\/p>\n With growing evidence of softening U.S. economic growth, markets are pricing in a quarter percentage point at the conclusion of Fed’s Sept. 17 meeting with near certainty, according to the CME FedWatch tool<\/a>. Odds that the central bank will cut by a half percentage point also initially ticked higher.<\/p>\n “A quarter-point cut is a layup and the number still keeps a half-point cut on the table, especially when looking at the jobless data,” said Jay Woods, chief market strategist at Freedom Capital Markets. “The bottom line is watch the 10-year Treasury yield. If we see a 3-handle on the 10-year, then the market could rally here.”<\/p>\n Thursday’s gain was broader than recent sessions, with banks like JPMorgan<\/a> and consumer names like Walmart<\/a> in the green on expectations for lower rates.<\/p>\n","protected":false},"excerpt":{"rendered":"Traders work on the floor at the New York Stock Exchange in New York City, U.S., Sept. 10,…\n","protected":false},"author":2,"featured_media":416572,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3091],"tags":[129761,15249,4959,61695,51,3085,125319,7989,4750,7992,79539,2441,15250,125321,3742,22772,16678,125320,3741,1831,12841,16,15,49,44122],"class_list":{"0":"post-416571","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-markets","8":"tag-adobe-inc","9":"tag-advanced-micro-devices-inc","10":"tag-breaking-news-markets","11":"tag-broadcom-inc","12":"tag-business","13":"tag-business-news","14":"tag-dow-jones-fut-sep25","15":"tag-dow-jones-industrial-average","16":"tag-economic-events","17":"tag-jpmorgan-chase-co","18":"tag-kroger-co","19":"tag-markets","20":"tag-micron-technology-inc","21":"tag-nasdaq-100-fut-sep25","22":"tag-nasdaq-composite","23":"tag-oracle-corp","24":"tag-prices","25":"tag-sp-500-fut-sep25","26":"tag-sp-500-index","27":"tag-stock-markets","28":"tag-u-s-10-year-treasury","29":"tag-uk","30":"tag-united-kingdom","31":"tag-united-states","32":"tag-walmart-inc"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115187342786817816","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/416571","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=416571"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/416571\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/416572"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=416571"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=416571"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=416571"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}