Wall Street climbs as CPI data cools rate hike fears

The Dow Jones Industrial Average was on track for sixth day of gains and the S&P 500 edged past a key technical level after tepid inflation data cooled worries of faster interest rate hikes.

A Labor Department report showed its consumer price index rose 0.2 percent, below the economists’ expectation of 0.3 percent, as rising costs for gasoline and rental accommodation were tempered by a moderation in healthcare prices.

“This data lends to the argument that the Fed can normalize patiently, but the flip side is that prolonged policy accommodation has yet failed to accelerate inflation,” Peter Cecchini, chief market strategist at Cantor Fitzgerald in New York, wrote in a note.
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