The S&P 500 hits a new record high


US stocks notched gains across the board on Tuesday after key inflation data came in hotter than expected to help set expectations for the timing of a Federal Reserve interest-rate cut.
The S&P 500 (^GSPC) rose about 1.2% to close at a new record high, while the tech-heavy Nasdaq Composite (^IXIC) climbed roughly 1.5% after two days of losses, led by chip giant Nvidia’s 7% gain (NVDA).
Treasury yields also gained with the 10-year yield (^TNX) rising 5 basis points to trade around 4.15%.
Gold prices (GC=F) fell more than 1% to trade near $2,162.
Investors are digesting the Consumer Price Index release, one of the most important data inputs for the Fed in deciding its next policy move.
Headline inflation met expectations with a monthly gain of 0.4% in February, following a 0.3% rise the month before.
The CPI print is seen as influential, given Fed policymakers have said they want to be sure inflation is easing before beginning to bring rates down from their historically high level.
Before the CPI release, S&P 500 traders were hedging moves of 0.9% in either direction for stocks.
Meanwhile, bitcoin (BTC-USD) continued its record-setting rally with a rise above $72,000 earlier in the session.
On the corporate front, Oracle (ORCL) shares jumped about 12% on signs the database giant is making progress in cloud computing amid a tie-up with AI chip giant Nvidia.

All US stocks saw gains on Tuesday as important inflation data beat estimates, helping to determine when the Federal Reserve will cut interest rates.

The tech-heavy Nasdaq Composite (^IXIC) gained roughly 1% after two days of losses, driven by chip giant Nvidia’s 7% gain (NVDA). Meanwhile, the SandP 500 (^GSPC) increased by about 1% to close at a new record high. About 0.6 percent was added to the Dow Jones Industrial Average (^DJI).

Treasury yields increased as well; the 10-year yield (^TNX) increased by 5 basis points to trade at 4:15 percent. The price of gold (GC=F) decreased by over 1% to trade at $2,162.

Investors are processing the release of the Consumer Price Index, which is one of the key data points that the Fed uses to determine its next course of action. After increasing by 0.3 percent in January, headline inflation increased by 0.4 percent in February, as anticipated. Nevertheless, the “core” CPI, which excludes the cost of food and energy, exceeded forecasts, increasing by 0.4% for the month and 3.1% for the year.

The CPI print is regarded as significant because Fed policymakers have stated that before starting to lower rates from their record high level, they want to be certain that inflation is decreasing. Stock market hedging involved moves of 0 points9 percent either way for S&P 500 traders prior to the release of the CPI.

As this was going on, bitcoin (BTC-USD) broke previous records by rising above $72,000 earlier in the day. The leading token has gained nearly 70% so far this year thanks to strong inflows into cryptocurrency assets, leading bulls to forecast that bitcoin could hit $350,000 this year.

Amidst a partnership with AI chip behemoth Nvidia, Oracle (ORCL) has seen a surge in its corporate shares of approximately 12 percent, suggesting the database behemoth is making headway in cloud computing.

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