(Bloomberg) — Stocks rose after data showed American consumers tempered inflation expectations, bolstering sentiment regarding prospects for Federal Reserve rate-cuts this year.
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The S&P 500 rebounded after a two-day slide. When traders come back from the holiday weekend, the “T+1” rule will come into effect — making US equities settle in one day rather than two. Treasuries barely budged after Fed Governor Christopher Waller said he still thinks the neutral interest-rate is relatively low, while warning that unsustainable fiscal spending could alter that trend.
Wall Street got a degree of relief as University of Michigan data showed consumers expect prices to climb at a 3.3% annual rate over the next year, down from the 3.5% expected earlier in the month.
“After further review, the consumer is not as pessimistic about the inflation trajectory,” said Jeff Roach at LPL Financial. “Consumer spending…
