S&P hits record as inflation surges by most since 2008
Consumer prices rose 5% annually in May
The S&P 500 rallied to a record high Thursday as traders shrugged off the fastest annual increase in consumer prices in over a decade.
The S&P 500 climbed 0.47% to edge out its all-time high by less than 8 points. The Dow Jones Industrial Average, meanwhile, advanced 19 points, or 0.06%, and the Nasdaq Composite rose 0.78%.
|I:DJI||DOW JONES AVERAGES||33573.28||+10.42||+0.03%|
|I:COMP||NASDAQ COMPOSITE INDEX||13276.418068||+46.99||+0.36%|
The consumer price index in May rose 5% annually, the most since August 2008, according to the Labor Department. Prices were up 0.6% month over month. The hot readings put next week's Federal Reserve meeting in focus.
In stocks, GameStop Corp. shares were pressured after the video game retailer announced plans to sell 5 million shares. The stock was also hit by news that the U.S. Securities and Exchange Commission requested documents and information related to the retail-trading frenzy that has caused heightened volatility in so-called meme stocks that also include AMC Entertainment Holdings Inc.
Elsewhere, United Airlines Holdings Inc. is in talks to buy at least 100 Boeing 737 Max jets, according to reports. The order could also include dozens of Airbus A321neo jets.
|UAL||UNITED AIRLINES HOLDINGS INC.||48.79||+0.53||+1.10%|
Online pet product retailer Chewy Inc. will report its quarterly results after the closing bell.
West Texas Intermediate crude oil rose 33 cents to $70.29 a barrel and gold edged up $1 to $1,894.20 an ounce.
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In Europe, Germany’s DAX 30 slipped 0.06% and France’s CAC 40 lost 0.26% after the European Central Bank kept both its bond-buying program and interest rates on hold despite a recent uptick in inflation. Britain’s FTSE 100 was up 0.1%.
Asian markets ended mixed, with Hong Kong’s Hang Seng index slipping 0.01%, Japan’s Nikkei 225 rising 0.34% and China’s Shanghai Composite climbing 0.54%.