NEW YORK – The Dow pushed to a fresh record while the Nasdaq pulled back on Sept 27, following US inflation data expected to keep the Federal Reserve on track to cut interest rates further.
The personal consumption expenditures (PCE) price index was up 2.2 per cent from a year ago in August, down from 2.5 per cent in July, the latest data point to show an easing in price pressure.
The Fed “should be pleased with this PCE print, which showed headline inflation at its lowest since early 2021,” said FHN Financial’s Mr Chris Low, who nonetheless noted that the inflation rate was somewhat higher when volatile food and energy components were stripped away.
The Dow Jones Industrial Average finished up 0.3 per cent at 42,313.00, topping a record set earlier in the week.
The broad-based S&P 500 dipped 0.1 per cent to 5,738.17, pulling back from a record close on Sept 26, while the tech-rich Nasdaq Composite Index shed 0.4 per cent to 18,119.59.
Major indices rose for the week, reflecting bullishness in the aftermath of Chinese stimulus measures that lifted hopes about the world’s second-largest economy.
Next week’s calendar includes US jobs data for October, as well as updates on the health of the manufacturing and services sectors.
Among individual companies, Costco fell 1.8 per cent after reporting higher profits but lower than expected revenues. Briefing.com said there were still “plenty of positives” in the results in spite of the revenue shortfall, which was partly due to lower gasoline prices. AFP
