Wall Street closes up on tech boost; inflation data dents hopes for big Fed rate cut

Wall Street closes up on tech boost; inflation data dents hopes for big Fed rate cut

By Sinéad Carew and Shashwat Chauhan

Wed September 11, 2024 6:59 PM

All three indexes took a substantial dive right out the gate, the Dow down over 700 points, as the news of CPI data coming in slightly higher than expected thereby dashing hopes of a ½ point rate cut which was dependent on inflation continuing to decrease. Now the Fed is being seen as pressured to go with the smaller rate cut in order to keep inflation from rising even further. This downward trend continued unabated until 11 a.m. when better news from the tech sector sent the markets on a rebound achieving not only break-even by afternoon but even very handsome 3-digit gains for both the Dow and Nasdaq by close. The bets are now 85:15 for a ¼ point vs ½ point cut this month. Volume at 12.19 billion was considerably above the 4-week average of 10.8 billion. 

DJ: 40,736.96  -92.63       NAS: 17,025.88  +141.28      S&P: 5,495.52  +24.47       9/10

DJ: 40,861.71  +124.75    NAS: 17,395.53  +369.65      S&P: 5,554.13  +58.61       9/11

 Wed 9-11-24 6:59 pm Wall Street closes up on tech boost; inflation data dents hopes for big Fed rate cut | Reuters