The U.S. stock market opened on a positive note on Thursday, with the S&P 500 experiencing a slight increase. Investors carefully analyzed the Federal Reserve’s preferred inflation measure and a government report on jobless claims before making their moves.
At the opening bell, the Dow Jones Industrial Average (DJIA) surged 0.3%, indicating a positive market sentiment. The S&P 500 (SPX) also rose by 0.2%, while the Nasdaq Composite (COMP) recorded a gain of 0.3%, based on the latest FactSet data.
According to data released by the Bureau of Economic Analysis, inflation, as measured by the personal-consumption-expenditures price index, showed a 0.2% increase in July. Core PCE, which is the Fed’s preferred inflation gauge excluding energy and food prices, also witnessed a 0.2% rise last month, aligning with economists’ forecasts. Notably, the core inflation rate experienced a year-on-year increase of 4.2%.
Meanwhile, the Labor Department reported that initial jobless claims dropped by 4,000 to reach 228,000 in the week ending on August 26th. This represents positive news for the labor market and hints at a potential recovery in employment rates.
It will be interesting to observe how these economic indicators impact investor sentiment and shape the trajectory of the stock market throughout the day.
