Nasdaq hits record close after Powell reassures investors, CPI in focus
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The Nasdaq scored a record closing high on Tuesday and the S&P 500 and the Dow also advanced as Federal Reserve Chair Jerome Powell reassured investors while they digested Tuesday's data and waited for Wednesday's crucial consumer inflation report. U.S. producer prices increased more than expected in April as the cost of services and goods rose sharply, leading traders to pare back bets of a first rate cut in September. But Powell on Tuesday described the producer price index report as more mixed than hot given that prior-period data was revised lower. Investors were also encouraged by Powell's comment that he did not expect the central bank's next interest rate move to be a hike, despite a recent run of higher-than-expected inflation. "The market is getting more comfortable with higher-for-longer rates. The real question has been lately if a hike is a possibility and Powell's reiterating that it's not o...