US producer prices were unchanged in July, giving investors additional evidence that the inflation shock associated with energy and geopolitical disruption may be easing. The report supported a record S&P 500 close, but it did not establish that inflation has returned to the Federal Reserveās target or guarantee lower interest rates. The Bureau of Labor Statistics reported on August 13 that the Producer Price Index for final demand was unchanged in July after a revised 0.1% decline in June. Goods prices fell 0.7%, while services increased 0.2%. Producer prices were 4.7% higher than one year earlier, down from 5.5% in June. The Bureau of Labor Statisticsā official PPI release provides the headline and component data. The bullish interpretation is that companies face less immediate press
š Another S&P 500 High! Is it now to chase the rise, or should we be cautious?
On August 13, the S&P 500 closed at 7,798.99, a new all-time closing high. Recently, U.S. stocks have continued to strengthen, and AI and technology stocks have performed brightly. At the same time, the cooling of inflation data has also eased the market's worries about the Fed's further rate hike. But here's the problem ā When the index keeps hitting new highs, are there more opportunities now, or are risks accumulating? What do you think of the next U.S. stocks?
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