The Fed said it could be wise to let inflation run past its 2% target for a bit
Stocks started the day deep in negative territory, but turned higher following the release of the Fed's meeting minutes from May. The central bank indicated it could let inflation run above its 2% target for some time to allow the economy more time to strengthen -- though it's still expected to raise interest rates at the June meeting. The retail sector was also in focus following earnings releases from names like Target (TGT) and Lowe's (LOW), and investors digested an early morning trade-related tweet from President Donald Trump. While the Dow and S&P both made strong moves off their intraday lows, the Nasdaq had the best day of them all.
Continue reading for more on today's market, including:
The Dow Jones Industrial Average (DJI - 24,886.81) spent most of the day in the red, but a post-2:00 p.m. ET rally had the blue-chip index up 52.4 points, or 0.2%, by the close. Sixteen of 30 Dow stocks closed higher, led by 1.4% gains from Intel (INTC) and McDonald's (MCD). The biggest loser was General Electric (GE), down 7.3% at the close.
The S&P 500 Index (SPX - 2,733.39) rose 8.9 points, or 0.3%, and the Nasdaq Composite (IXIC - 7,425.96) added 47.5 points, or 0.6%.
The Cboe Volatility Index (VIX - 12.58) sank to its lowest close since Jan. 26, dipping 0.6 point, or 4.8%.
5 Items on Our Radar Today
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China is reportedly planning to import more oil from the U.S. to ease trade tensions. Energy and commodities were a top priority for the Trump White House during trade discussions. (Reuters)
- A federal judge today ruled that President Donald Trump cannot block users on Twitter. The judge said that doing so infringes on users' First Amendment rights. (USA Today)
- The huge hacking news that weighed on Cisco stock today.
- A multi-million-dollar deal that sent Cara Therapeutics stock soaring.
- 2 pharma stocks that diverged in a big way.
Data courtesy of Trade-Alert
Oil Prices Decline on Inventories Update
Oil prices fell today following an unexpected increase in domestic crude inventories. July-dated crude futures closed down 36 cents, or 0.5%, at $71.84 per barrel.
Gold prices dipped $2.40, or 0.2%, today to close at $1,289.60 an ounce. However, gold futures got an after-hours lift thanks to the release of the Fed's meeting minutes.