Last week, the S&P 500, Nasdaq, and Dow Jones all reached record highs, fueled by positive news on inflation and strong earnings reports from financial giants like BlackRock and Goldman Sachs.
Record Week for Stocks
All three major market indexes hit all-time highs last week. The S&P 500 closed at 5,615, the Nasdaq Composite finished at 18,398, and the Dow Jones climbed back over 40,000 to 40,001.
The catalysts for this surge were Federal Reserve Chair Jerome Powell’s positive comments on the economy and a drop in the inflation rate to 3% for the third consecutive month.
Inflation Rate Drops for Third Straight Month
The Consumer Price Index (CPI) for June showed a 3% inflation rate, beating estimates and signaling a sustainable move towards the 2% target. This led to increased expectations of a rate cut in September and possibly a second cut later in the year.
Earnings This Week
Earnings season kicks off with big financial firms like JPMorgan Chase, Bank of America, and Morgan Stanley reporting strong results. Other companies like Netflix and American Express are set to announce their earnings as well.
Overall, the record highs and positive economic indicators suggest continued growth in the markets, with investors keeping a close eye on earnings reports and future Fed actions.