Market results for the day show the Dow Jones Industrial Average rising 0.53%, the Nasdaq gaining 0.25% and setting a new session closing record at 20,730.49 points, while the broad S&P 500 advanced 0.32%.
The stock market experienced a brief increase in the morning after the U.S. President mentioned he was considering the removal of the central bank’s head, Jerome Powell, though he later regarded this possibility as “very unlikely.”
His comments unsettled the markets and led to a drop in main stock indices, which partially recovered following Trump’s reversal.
“Clearly (Wall Street) wants to go higher,” speculated Adam Sarhan of 50 Park Investments in a statement to AFP.
“Every time bad news is announced, the market breaks free and recovers, as seen today,” he added.
For months, Trump has criticized Powell, whom he appointed during his first term, referring to him disparagingly as “slow Powell” for not lowering the central bank’s interest rate, as he believes inflation is not a concern.
The Producer Price Index (PPI), released today, remained unchanged month-on-month after a 0.3% rise in May, contrary to the expected 0.1% increase.
In a written comment, Bill Adams of Comerica Bank remarked that the PPI was “more moderate than anticipated in June” and suggested that “if these trends continue, the Fed is able to reduce the rate in 2025.”
Statistics concerning retail trade and unemployment benefit claims will be released on Thursday.
