Major indices in New York ended the session higher, as investors turned to June’s reading of US inflation, as well as the start of earnings season.
Major US indices ended the session with gains, recovering from losses recorded last week. However, caution prevailed, as investors focused on Wednesday’s US inflation reading, as well as the start of earnings season for listed companies.
The S&P 500 rose 0.24%, to 4409.53 points, while the Dow Jones Industrial Average increased by 0.62% to 33944.40 points, and the Nasdaq Technology Composite Index advanced by 0.18% to 13685.48 points.
With many traders anticipating a fresh 25 basis point rate hike by the US Federal Reserve at its July meeting, investors will pay attention to inflation in June to better understand which path the Fed should follow.
This Monday, three Fed officials — Michael Barr, Mary Daley and Loretta Mester — said the pressures that are driving prices soaring must continue and push the central bank to further increases in benchmark interest rates.
Intel and Qualcomm shares rose 2.79% and 1.02%, respectively, after US Treasury Secretary Janet Yellen visited Beijing over the weekend and said talks with Chinese officials were “direct” and “productive.”
“It’s clear that the market is ready to open earnings season,” Quincy Crosby, a strategist at LBL Financial, told Reuters, but investors are also very focused on inflation and the “prospects” for the Fed’s interest rates.
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