-
The S&P 500 and Nasdaq posted new highs on Tuesday as investors prepared for the Fed’s policy decision.
-
Markets are also awaiting Wednesday’s CPI data.
-
Shares of Apple rose as much as 7% as Wall Street cheered its WWDC event.
U.S. stocks were mostly higher on Tuesday, with the S&P 500 and Nasdaq hitting record highs, as traders looked ahead to the Federal Reserve’s latest policy decision.
Once the central bank’s two-day event ends Wednesday, investors will listen to Chairman Jerome Powell’s comments and learn more about where yields are headed. Monetary policy is not expected to change at this meeting, although hopes are still high that interest rates will start in September.
Wednesday’s Consumer Price Index report will also help determine this, as cooler-than-expected inflation could lead to more Fed easing.
“The consensus expectation is that the headline CPI (including food and energy) will remain stable at 3.4% in May, unchanged from the April update. If so, it will be below the recent highs of 3.7% in September and October, but still well above the 3% recorded last July, and well above the Fed’s own 2% target. If recent history is any guide, there should be broad relief even if the CPI only meets expectations,” said David Morrison, senior market analyst at Trade Nation.
Apple jumped to an all-time high on Tuesday, buoyed by excitement about its WWDC event. The company’s revealed developments were greeted with much fanfare on Wall Street and the shares rose as much as 7%.
Meanwhile, government bond yields fell by almost seven basis points after an auction of 10-year government bonds sparked strong demand.
Here’s where the US indexes stood at 4pm on Tuesday:
Here’s what else happened today:
In commodities, bonds and crypto:
-
West Texas Intermediate crude was essentially flat at $77.87 per barrel. Brent crude, the international benchmark, rose 0.31% to $81.85 per barrel.
-
Gold rose 0.13% to $2,313.95 an ounce.
-
The yield on ten-year government bonds fell by seven basis points to 4.4%.
-
Bitcoin fell 3.3% to $67,166.
Read the original article on Business Insider
