Stock market today: Wall Street drifts, but hopes for AI and rates keep indexes near records
U.S. stocks are drifting following mixed data on the economy, but hopes for coming cuts to interest rates and Wall Street’s continued frenzy around artificial-intelligence technology are keeping indexes near their records
NEW YORK — U.S. stocks are drifting Thursday following mixed data on the economy, including the latest encouraging update on inflation, but hopes for coming cuts to interest rates and Wall Street's continued frenzy around artificial-intelligence technology are keeping indexes near their records.
The S&P 500 was up 0.1% in afternoon trading, a day after jumping to an all-time high. The Dow Jones Industrial Average was down 127 points, or 0.3%, as of 1:49 p.m. Eastern time. The Nasdaq composite rose 0.2% and is just above its own record.
Treasury yields eased again in the bond market as conviction built that inflation is slowing enough to get the Federal Reserve to cut interest rates later this year.
A report showed inflation at the wholesale level wasn’t as bad as economists expected. Prices paid by wholesalers actually dropped from April into May, when economists were forecasting a rise.
It followed a surprisingly encouraging update on inflation at the consumer level released Wednesday. Federal Reserve Chair Jerome Powell called that report encouraging and said policymakers need more such data before lowering their main interest rate from the most punishing level in two decades.
High interest rates have been dragging on some parts of the economy, particularly manufacturing. A separate report on Thursday showed more U.S. workers filed for unemployment last week than economists expected, though the number is still low relative to history.
The hope on Wall Street is that growth for the job market and
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