Stock market today: Dow jumps 700 points, Nasdaq soars 2.5% after cool CPI reading
Published On Jan 15, 2025, 4:08 PM
U.S. stocks surged on January 15, as market optimism rose following better-than-expected consumer inflation data. The Consumer Price Index (CPI) indicated that core prices increased by only 0.2% month-on-month in December, down from 0.3% in November, which alleviated fears over sustained inflation. This eased pressure on the Federal Reserve regarding interest rates, leading to significant rebounds in key stock indices: the S&P 500 gained more than 1.8%, the Dow Jones increased by over 1.6%, and the Nasdaq surged 2.5%. Additionally, strong earnings reports from major banks like JPMorgan Chase and Goldman Sachs, which benefited from a revival in investment banking, further fueled investor sentiment. These factors collectively suggest a positive outlook for the stock market in the near term.
Stock Forecasts
JPM
Positive
The overall trend suggests a continued appetite for equities, especially in the financial and technology sectors, owing to improved investor sentiment following the CPI data and robust bank earnings.
AAPL
Positive
The tech sector's performance indicates sustained interest, particularly among the 'Magnificent Seven' stocks which have benefited from recent market rallies. This group is likely to see further gains as market conditions stabilize.
SPY
Positive
With momentum building following positive bank earnings and inflation data, broader market ETFs like SPY (S&P 500 ETF) are well-positioned for gains in the wake of these developments.
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Stock market today: Dow jumps 700 points, Nasdaq soars 2.5% after cool CPI reading
Jan 15, 2025, 4:08 PM
A better than-expected consumer inflation report sparked a rally in stocks on Wednesday.