Stock Markets Hit Record Highs After Drop in US Inflation
Stock markets reached record highs on Friday after US inflation fell to 2.2%. The S&P 500 index soared to over 5,750, while Europe's major indices also rose. This surge fuels expectations of aggressive Federal Reserve interest rate cuts in November.
Stock markets reached record highs on Friday following news of a notable drop in US inflation.
The S&P 500 index surged past 5,750, marking a near 100% increase from the previous year.
Europe's Stoxx 600, the German Dax, France’s CAC 40, and Britain’s FTSE 100 also saw gains.
US annual inflation fell to 2.2% in August, the lowest since February 2021, raising expectations of aggressive interest rate cuts by the Federal Reserve in November.
Analysts predict a significant 0.5% rate cut following similar trends in France and Spain.
The International Monetary Fund and OECD reported a global slowdown, particularly in China and the US, escalating recession worries.
China’s central bank responded with rate cuts and economic stimulus measures.
Economic experts like Russ Mould of AJ Bell and James Knightley of ING highlighted the potential for increased economic activity and pressures on the Fed for further rate cuts amid weakening US economic indicators.
The S&P 500 index surged past 5,750, marking a near 100% increase from the previous year.
Europe's Stoxx 600, the German Dax, France’s CAC 40, and Britain’s FTSE 100 also saw gains.
US annual inflation fell to 2.2% in August, the lowest since February 2021, raising expectations of aggressive interest rate cuts by the Federal Reserve in November.
Analysts predict a significant 0.5% rate cut following similar trends in France and Spain.
The International Monetary Fund and OECD reported a global slowdown, particularly in China and the US, escalating recession worries.
China’s central bank responded with rate cuts and economic stimulus measures.
Economic experts like Russ Mould of AJ Bell and James Knightley of ING highlighted the potential for increased economic activity and pressures on the Fed for further rate cuts amid weakening US economic indicators.
