NEW YORK, New York – U.S. stocks rallied hard on Wednesday, ahead of Thursday’s CPI report, extending the New Year jubilance.
“It’s really all today about, kind of positioning ahead of CPI,” Daniel Eye, chief investment officer at Fort Pitt Capital Group told CNBC Wednesday.
“You’re trying to get in there ahead of a big, big move on the report tomorrow.”
U.S. Treasury yields fell pushing prices higher. The U.S. dollar eased signifying markets at least believe the CPI will dip, a signal to the Federal Reserve that inflation is slowing.
Technology stocks once again led the buying spree. “As we get closer to the end of this interest rate hike campaign that the Fed is doing, tech stocks should rally,” Gina Bolvin, president of Bolvin Wealth Management Group told CNBC Wednesday. “Let’s just face it: Last year they got creamed, so there are investors that want to pick up some bargains.”
The Nasdaq Composite surged 189.04 points or 0.80 or 1.76 percent to close Wednesday at 10,931.67.
The Dow Jones industrials jumped 268.91 points or 0.80 percent to 33,973.01.
The Standard and Poor’s 500 increased 50.36 points or 1.28 percent to 3,969.61.
On foreign exchange markets the U.S. dollar edged low however losses were limited.
The euro firmed to 1.0753. The British pound rose to 1.2146. The Japanese yen was lower at 132.43. The Swiss franc inched up to 0.9311.
The Canadian dollar was little changed at 1.3420. The Australian dollar edged up to 0.6907. The New Zealand dollar gained to 0.6366.
On Overseas equity markets, the FTSE 100 in London rose 30.49 points or 0.40 percent to close Wednesday at 7,724.98.
The German Dax jumped 173.31 points or 1.17 percent to 14,947.91.
The CAC 40 in Paris, France rose 55.05 points or 0.80 percent to 6,924.19.
In Japan, the Nikkei 255 advanced 270.44 points or 1.03 percent to 26,446.00.
The Hang Seng in Hong Kong jumped 104.59 points or 0.49 percent to 26,446.00.
China’s Shanghai Composite dipped 7.67 points or 0.24 percent to 3,161.84.
The Singapore Straits Times index edged up 8.60 points or 0.26 percent to 3,271.51.
Indonesia’s Jakarta Composite dropped 38.05 points or 0.57 percent to 6,584.45.
The Australian All Ordinaries gained 69.80 points or 0.95 percent to 7,406.40.
New Zealand’s S&P/NZX 50 declined 28.27 points or 0.24 percent to 11,636.99.
In South Korea, the Kospi Composite edged up 8.22 points or 0.35 percent to 2,359.53.