S&P 500 Tops 6,500 on Signs Economy in Good Shape: Markets Wrap

A solid economic reading drove stocksto fresh all-time highs, but Wall Street traders refrained from making big moves before inflation data that could bring more clues on the pace of Federal Reserve rate cuts. Short-dated Treasury yields rose. The dollar fell.

Just 24 hours ahead of the release of the Fed’s favored price gauge, data showed the US economy expanded faster than initially estimated, underscoring the resilience of America’s primary growth engine — consumer spending.

Countdown to inflation data.

Source: Bloomberg

While that soothes recession jitters, it raises doubts about the inflation outlook. A report Friday is forecast to show the personal consumption expenditures ...