Stocks are on fire as investors pile in amid falling inflation

Risky assets like stocks are heating up, with investors pouring cash into the market in recent days as inflation appears to be in full retreat, according to Bank of America.

The S&P 500 perked up 2% the last week, rallying over 100 points. Meanwhile, investors pumped $11.6 billion into the stock market over the last week, Bank of America strategists said, a sign traders are growing more bullish on risk assets as inflation keeps cooling. , per the June Consumer Price Index report. That's well below the 41-year-record of 9% for headline inflation notched last summer.

"Headline 2% to 9% to 3% roundtrip is now complete," strategists said in a note on Thursday."Risk assetsCooler inflation spells good news for equities, and has raised the odds that the US economy can avoid a bad recession. A so-called soft landing would be an impressive feat for the Fed, as it successfully threads the needle to bring down inflation without crushing economic growth and sparking high unemployment.

Still, some experts have warned inflationary pressures are still a threat, with core inflation accelerating 4.8% year-per-year over the last month. Core inflation pressures still need to be addressed, San Francisco Fed Presidentsaid this week, suggesting before the June CPI was published that a"couple more" rate hikes may be needed.

Markets, though, are anticipating just one more rate increase before the Fed hits pause. Investors have priced in a 96% chance of a 25 basis-point hike in July, and an 81% chance the Fed keeps rates steady at that level in September, per the

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Disney shares advance as Iger contract extended, Viasat shares plunge on satellite issues and more stocks on the moveWalt Disney, Viasat and MillerKnoll are among the stocks on the move.
Source: MarketWatch - 🏆 3. / 97 Read more »

Stock Market Today: U.S. stocks open higher after wholesale inflation dataMarketWatch Live: U.S. stocks advance following latest cooling-inflation signal
Source: MarketWatch - 🏆 3. / 97 Read more »

As inflation cools, here’s how investors can move money back into stocks and bondsThe days of money-market and CD yields of 5%-plus may soon be over.
Source: MarketWatch - 🏆 3. / 97 Read more »

U.S. stocks open higher after June producer price index rises less than expectedU.S. stock indexes opened higher on Thursday after the June producer price index moderated more than analysts’ expectations. The Dow Jones Industrial Average rose 121 points, or 0.4%, to 34,466:
Source: MarketWatch - 🏆 3. / 97 Read more »

Barbie boost: These stocks could be in the pink amid movie buzz"Everywhere you look, Barbie pink is the new black,” said Dave Bruno of retail-technology company Aptos.
Source: MarketWatch - 🏆 3. / 97 Read more »

Spotify’s Wall Street Rebound Is Leading Music Stocks’ GrowthOn the Billboard Global Music Index — up 13% at the midyear — two South Korean companies also accounted for some of the biggest gains.
Source: billboard - 🏆 112. / 63 Read more »