The strong showing came as five S&P 500 components hit new all-time highs: Oracle, Microsoft, IBM, Amphenol, and Philip Morris. On the downside, defensive names like Brown-Forman, Conagra, and Campbell Soup hit 52-week lows, reflecting a market leaning back into risk assets.
Is the Federal Reserve Getting Relief from Inflation Data?
Fresh inflation data supported the case for a patient Federal Reserve. May’s producer price index rose just 0.1%, softer than the expected 0.2%. Core PPI also rose only 0.1%. Bond yields retreated slightly following the report, hinting that traders see reduced pressure on the Fed to hike rates in the near term.
At the same time, initial jobless claims remained flat at 248,000, while continuing claims rose to 1.96 million—the highest since late 2021. While labor data remains stable, the uptick in ongoing claims suggests potential softening in job retention.