NEW YORK, United States — European and US stocks mostly rose Wednesday after data showed US inflation slowed in May, with Wall Street indices holding onto records even after the Federal Reserve projected fewer interest rate cuts in 2024.
Both the S&P 500 and Nasdaq finished at records for the third straight day.
The Fed left its key lending rate unchanged and penciled in just one rate cut this year, down from the three expected in March.
READ: US Fed holds interest rates, now sees just one cut this year
The move came after inflation rated at 3.3 percent last month, down 0.1 percentage point from April, slightly below expectations.
Fed chair Jerome Powell welcomed the inflation data but added that the US central bank needs to see more “good inflation readings” before it gains sufficient confidence to consider cutting interest rates.
READ: US inflation cooled in May in a sign that price pressures may be easing
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