The trading session results indicate that the Dow Jones Industrial Average rose by 0.43% to 45,711.34 points, the Nasdaq increased by 0.37% to 21,879.49 units, and the S&P 500 climbed by 0.27% to 6,512.61.
“The mega-cap group played a driving role in supporting the main indices,” stated Patrick O’Hare from Briefing.com in a statement to the AFP.
In particular, Nvidia increased by 1.46%, Alphabet (Google) by 2.39%, and Amazon by 1.02%.
This optimism is based on positive expectations regarding information to be released on price behavior, particularly the producer price index on Wednesday and the consumer price index on Thursday.
“Investors expect not just a rate cut by the Fed in September, but also in October and December,” he added.
According to this analyst, the price information should provide “a basis for the Fed to reassess the possibility of these rate cuts.”
The U.S. central bank has a dual mandate: to maintain price growth close to two percent in the long term and maximize employment levels.
However, O’Hare warned, “it seems investors are focusing more on the weakening labor market than on inflation.”
Today, they did not react negatively to the drop in U.S. employment between April 2024 and March 2025.
According to the updated figures from the Bureau of Labor Statistics (BLS), U.S. job creation in the fiscal year 2024-2025 was 911,000, less than half of what had been reported.
“For investors, bad economic news is synonymous with good news in terms of interest rate cuts,” summarized Patrick O’Hare.
