(Bloomberg) — Stocks rose after an in-line US inflation report did little to alter bets the Federal Reserve will start cutting rates in September.
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The S&P 500 extended its advance into a fifth straight day, the longest winning streak in more than month. Most of its major groups gained, with financial, energy and tech shares leading the charge. In late trading, Cisco Systems Inc. climbed on a solid revenue forecast. Treasuries saw small moves. The dollar remained at a four-month low.
The consumer price index reinforced the trend of disinflation and brought a degree of relief to markets still reeling after last week’s meltdown. Combined with a softening job market, the Fed is widely expected to start lowering rates next month, while the size of the cut will likely be determined by incoming data.
“It may not have been as cool as yesterday’s PPI, but today’s as-expected CPI likely will not rock the boat,”…
