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Dow, S&P 500 hit record highs after a new batch of encouraging inflation data

Aug 11, 2021, 20:23 IST
Business Insider India
Brendan McDermid/Reuters
  • The S&P 500 and the Dow Jones industrial average hit record intraday highs on Wednesday.
  • The widely watched core inflation reading came in less than expected at 0.3% in July from a month earlier.
  • The Nasdaq Composite was also gaining ground.
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The S&P 500 and Dow Jones industrial average hit new intraday records on Wednesday after a popular measure of inflation slowed in the month of July, alleviating worry that the Federal Reserve will accelerate its monetary-tightening efforts.

The Consumer Price Index rose 0.5% last month, the Bureau of Labor Statistics said Wednesday. The gauge tracks the prices of various goods and services and aims to measure how much everyday prices change each month. The print marks a deceleration from the 0.9% gain seen the month prior and suggests price growth could soon return to its pre-crisis norm.

Here's where US indexes stood shortly after the 9:30 a.m. open on Wednesday:

Read more: Investing legend Laszlo Birinyi shares how to cash in on a bullish stock-market trade that's already earned him 250% this year - and explains why he's not worried about an imminent correction

Around the markets, Coinbase shares rose after the crypto exchange reported second-quarter earnings that outstripped analyst expectations, helped by a jump in trading volumes. The company's report also showed ether was the most-traded cryptocurrency on the exchange during the quarter, surpassing bitcoin.

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Gold climbed as much as 1.1%, to $1,747.55 per ounce.

Oil prices fell. West Texas Intermediate crude fell as much as 2.4%, to $66.67 per barrel. Brent crude, oil's international benchmark, declined 2.2%, to $69.07 per barrel, at intraday lows.

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