Wall Street Records Extend On Fed Cut Bets As S&P 500, Dow, Nasdaq Hit Fresh Highs

Wall Street extended its record-setting streak Thursday as mixed U.S. economic data cleared the path for a widely expected Federal Reserve interest rate cut next week, according to AP. The S&P 500 rose 0.8%, marking a third consecutive all-time high. The Dow Jones Industrial Average surged 1.4%, while the Nasdaq gained 0.7%. Inflation rose 2.9% in August from a year earlier, up slightly from July’s 2.7%, matching economists’ expectations but remaining above the Fed’s target. Inflation remains above the Fed’s 2% target, but traders expect the central bank to prioritize the weakening job market. Adjusting interest rates to address one issue often worsens the other in the short term. Stocks tied to lower interest rates advanced, with Builders FirstSource up 4.5% and Opendoor soaring 79.5% after naming a new CEO and securing $40 million in investments.