Nasdaq outperforms while Dow falls and S&P 500 holds steady ahead of FOMC
US indices post another fantastic week in ever-ecstastic trading.
Participants have been looking away from a now-priced-in slowing Labor market in the US that is still at historically great levels, as inflation came back to grab the most-watched seat.
The consecutive CPI and PPI releases have boosted bullish spirits, pushing all indices to new all-time highs in yesterday’s session.
The Dow Jones saw the heaviest inflows, concluding the session up a staggering 1.38% compared to the 0.63% and 0.82% rises for the Nasdaq and S&P 500, respectively.
Nasdaq is taking back its throne in today’s action, breaking new records yet again.
Some analysts mention that odds for a 50 bps cut at next week’s meeting are still far from underrated with good reasons.
The -932K (vs -630K) BLS Labor data revisions released last week have added to the US labor’s degrading picture as tariffs bite into companies’ profits even more in recent months.
Add this to the political menaces from the Trump Administration and the dissenting FED speakers who are now gone (hi to Lisa Cook and Adriana Kugler), and with the not-so-hot CPI relative to expectations, the FOMC might be lagging on their policy.
Inflation is still uncomfortably high when looking at the core figures (+3.1% Y/Y), adding to uncertainty about this outcome—75 bps of cuts are still heavily priced in the three final meetings for 2025.
Explore intraday charts and technical levels for the Dow Jones, Nasdaq and S&P 500.
