Stock Futures Jump as Cooling Inflation Keeps Market’s Rate-Cut Hopes Alive
U.S. stock futures were mostly rising Thursday after a surprise cooldown in a key inflation measure appeared to boost the chances that the Federal Reserve will cut interest rates at some point this year.
Core consumer price inflation, which doesn’t include volatile food and energy prices, rose 0.2% last month for its smallest gain since July, the Bureau of Labor Statistics said Wednesday. Economists had been expecting a 0.3% rise.
The news eased the market’s nerves after a so-so start to 2025 that’s been defined by worries about elevated interest rates and a tick-up in bond yields, driving stocks to their best session since Donald Trump won the presidential election.