NEW YORK (dpa-AFX) – A surprisingly significant slowdown in inflation sent the US stock market higher on Tuesday. That won’t change anything about the interest rate hike generally expected by the US Federal Reserve this Wednesday. However, economist Thomas Gitzel of VP Bank expects “inflation rates in the United States to continue to fall significantly in the coming months” and therefore “will ease pressure on the Fed to further tighten interest rates significantly”.
Right as trading opened, the Dow Jones Industrial soared to 34,712 points, which is its highest level in nearly eight months. An hour later, the main index rose only 0.74% to 34,255.20 points. For the market-wide S&P 500, however, it rose 1.51% to 4050.94 points. The Nasdaq 100 selection index, which is littered with technology stocks, even gained 2.23% to 11,967.64 points. It contains a number of stocks that benefit particularly clearly from the hope that the cycle of interest rate hikes will end soon./gl/jha/
