S&P 500 Hits Fresh High After Cooler Inflation Data

The S&P 500 and the Nasdaq Composite reached new record highs due to easing inflation data, leading traders to increase their expectations of rate cuts by the Federal Reserve. The S&P 500 gained 0.9% while the Nasdaq Composite climbed 1.5%. In contrast, the Dow Jones Industrial Average fell 0.1%, losing 35 points. The 10-year Treasury note’s yield, an indicator of borrowing costs, declined. May’s data showed a cooling of inflation, with the consumer-price index rising 3.3% from a year ago, slightly lower than April’s reading and below economists’ expectations of 3.4%.