The Dow was up 2.2% at the closing bell Wednesday, while the S&P 500 and Nasdaq rose 3.1% and 4.4%, respectively, after the Federal Reserve Chair Jerome Powell hinted smaller interest rate hikes could start later this month.
Core personal consumption expenditures (PCE) price index, however, posted an annual gain of 5% in October, according to data released earlier Thursday. The Fed’s preferred and most reliable inflation indicator showed a slowdown from the annual increase of 5.2% in September.
On a monthly basis, the index gained 0.2% in October, also slowing in pace from a monthly increase of 0.5% in September.
The VIX volatility index, also known as the fear index, rose 0.6% to 20.70. The 10-year US Treasury yield shed 2.8% to 3.598%.
The dollar index fell 1.2% to 104.72, still around its highest in 20 years, while the euro gained 1% to $1.0506 against the greenback.
Precious metals posted strong gains as gold soared 1.8% to $1,800 per ounce and silver jumped 1.6% to $22.55.
Oil prices also showed strong increase. Global benchmark Brent crude was trading at $89.14 per barrel for a gain of 2.5%. US benchmark West Texas Intermediate crude was around $83.11, up 3.2%.
Source: Anadolu Agency