US stocks end flat as investors await inflation data
Wall Street finished mostly flat on Thursday as investors awaited new inflation data. The Nasdaq managed to slightly gain as economic data revealed a sustained slowdown, raising investors' hopes for rate reductions. "The market is in a bit of a holding pattern here for the personal consumption expenditures (PCE) because there haven't been a lot of big catalysts," said Ross Mayfield, investment strategy analyst at Baird, about the release of the monthly PCE price index – the Federal Reserve's preferred inflation gauge – on Friday. Data showed new orders for key US-manufactured capital goods unexpectedly fell in May, while core durable goods orders fell 0.1 percent versus forecasts for a 0.2 percent rise, boosting investor beliefs that a weaker economy could prompt the Federal Reserve to cut interest rates in September. Weekly jobless claims fell to 233,000, missing expectations of 236,000. Furthermore, a final print showed that US economic growth increased more than anticipated in the first quarter. Benchmark 10- and 2-year yields, which move inversely to prices, dropped after the data showed a continued but moderated slowdown in economic activity, while the 7-year yields edged lower after a US$44 billion auction. Megacap stocks, such as Alphabet and Meta Platforms, firmed as US Treasury yields slipped. Amazon.com rose after hitting US$2 trillion in market value for the first time on Wednesday. The Dow Jones rose 0.11 percent to 39,164. The S&P 500 gained 0.07 percent to end at 5,482, while the Nasdaq gained 0.30 percent to 17,859. Micron fell after an in-line fourth-quarter revenue forecast disappointed investors hoping for more upside from the memory chipmaker's performance in the artificial intelligence boom. Nvidia tumbled, continuing its recent turbulent ride. (Reuters)