par Ankika Biswas et Lisa Pauline Mattackal
June 27 (Reuters) – The New York Stock Exchange ended slightly higher on Thursday as investors remained cautious ahead of much-anticipated inflation data, with the Nasdaq leading the gains after a report suggested economic activity was slowing – a factor that could help spur interest rate cuts.
The Dow Jones index gained 0.09%, or 36.53 points, to 39,164.33 points.
The broader S&P 500 gained 5.16 points, or 0.09%, to 5,483.06.
The Nasdaq Composite advanced 53.53 points (0.30%) to 17,858.68 points.
Data released later in the day showed that purchases of U.S. capital goods unexpectedly declined in May, while core durable goods orders fell 0.1% versus a consensus of +0.2%, reinforcing investors’ expectations that the economic slowdown will prompt the U.S. Federal Reserve (Fed) to cut rates in September.
Separately, weekly U.S. jobless claims declined more than expected, while first-quarter U.S. gross domestic product (GDP) growth was revised upwards in the final reading.
“The market is a bit in a holding pattern” for the monthly personal consumption report “in the absence of any real catalysts,” Baird analyst Ross Mayfield said of Friday’s release of what is the Fed’s preferred indicator of inflation.
Yields on two-year and 10-year U.S. Treasury bonds, which have curves that are inverse to those of prices, fell after data showed a prolonged but moderate slowdown in economic activity.
At the same time, high-growth stocks, such as Alphabet and Meta Platforms, finished higher. Amazon increased by 2.19% after crossing the threshold of $2,000 billion in market capitalization for the first time the day before.
According to FedWatch data from LSEG, investors largely continue to anticipate two rate cuts this year, although the Fed says it currently expects only one.
Atlanta Fed President Raphael Bostic wrote in a policy statement that inflation “appears to be tightening” and that should allow for rate cuts. Governor Michelle Bowman reiterated that she would not support monetary easing as long as inflation pressures remain elevated.
Note, on the value side, the fall of 7.11% for Micron after a disappointing quarterly turnover forecast, while Nvidia fell by 1.9%.
Walgreens Boots Alliance plunged more than 22% following a downward revision of its annual profit forecast and the announcement of the closure of additional stores in the United States.
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NYSE Nasdaq Summary of the market…………… 25 highest volumes……………… Largest increases in %…… ……… Biggest declines in %…………… Guide to American stock indices…. Market statistics………. …………. 10-year benchmark bond ………….. Guide to American sector indices… Guide to American equity markets…. .. Dow Jones Indices……………………. S&P Indices…………….. Ex-dividend values…………………………. Forecasts for the Dow Jones and the S&P.. (Written by Jean Terzian)
