FX.co ★ US Stocks Set to Snap 3-Day Losing Streak

On Friday, U.S. stocks experienced an uptick as investors responded to inflation data aligning with predictions. The S&P 500 increased by 0.5%, the Nasdaq 100 edged up by 0.2%, and the Dow Jones surged by more than 300 points. This movement came as a relief to a recent 3-day downward trend. The August Personal Consumption Expenditures (PCE) index, favored by the Federal Reserve as a measure of inflation, indicated core inflation at 2.9% on a year-over-year basis. This bolstered expectations of two potential quarter-point rate reductions in the forthcoming meetings. The market's positive momentum was also fueled by robust employment statistics and a revised second-quarter GDP figure, which had previously hindered bullish inclinations. Notably, Boeing saw a 4.2% rise, and major banks contributed to the indices' ascent. Further bolstering the market, GlobalFoundries experienced an 8.7% increase following news of planned U.S. chip production regulations. Conversely, newly imposed tariffs on pharmaceuticals, heavy trucks, and furniture by President Trump introduced a layer of uncertainty and raised concerns about a possible government shutdown.