Stock market today: Wall Street rises toward records after inflation finally slows
NEW YORK (AP) — U.S. stocks are rising toward records Wednesday with hopes that inflation is finally heading back in the right direction after its discouraging start to the year.
The S&P 500 was 0.8% higher in midday trading and above its all-time high set at the end of March. The Nasdaq composite was adding to its own record set a day earlier, up 1%, as of 11:15 a.m. Eastern time, and the Dow Jones Industrial Average was up 250 points, or 0.6%.
Relief was coming from the bond market, where Treasury yields eased to release some of the pressure on the stock market. The moves resulted from rising expectations among traders that the Federal Reserve may indeed cut its main interest rate this year.
Stocks that tend to benefit the most from lower interest rates helped lead the market. Real-estate stocks in the S&P 500 climbed 1.5%, while utility stocks rose 1.4%. Their dividend payments look better to investors when bonds are paying less in interest.