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Dow Leads Stocks Higher as Oil Falls and Bitcoin Soars
Wall Street stocks continued their rally Wednesday as investors accepted the idea that Sudden cooling of inflation will put interest rate hikes on ice.
The Dow Jones Industrial Average (^DJI) led the gains, up about 0.5%. The benchmark S&P 500 index (^GSPC) rose about 0.2%, while the Nasdaq Composite (^IXIC) barely finished above the flat line. The Dow Jones has risen for four straight days and is at its highest level since August 14.
At the same time, cryptocurrencies also extended their recent rally. The world’s largest cryptocurrency, bitcoin (BTC-USD), rose more than 6% to over $37,000 per piece.
In commodities, oil prices fell with West Texas Intermediate (CL=F) reaching $76.51 per barrel while Brent Crude (BZ=F) fell just below $81 per barrel.
The rise in stocks was helped by a surprise easing of price pressures in the United States, prompting bets that the Federal Reserve would keep rates steady and could begin cutting them early next year. Data released Wednesday reiterated that narrative as October wholesale prices saw the biggest monthly decline in two and a half years.
Meanwhile, the October retail sales report revealed It was the first monthly decline in sales since March, although the 0.1% drop was still higher than Wall Street estimates.
Actions in Target (TGT) jumped more than 16% after its third quarter results inflated estimates. The big-box retailer highlighted the resilience of the American consumer facing higher borrowing costs.