Investing.com — US stocks jumped Wednesday as a key measure of inflation unexpectedly cooled in December, easing concerns that a pick up in price pressures could force the Fed into a prolonged pause on further rate cuts.
At 12:54 p.m. ET (17:54 GMT), the gained 639 points, or 1.5%, the index adde 1.6%, and the climbed 2.1%.
December core CPI unexpectedly cools
Sentiment has been boosted Wednesday after data showed the headline consumer price index increased by 0.4% month-on-month in December, slightly faster than a pace of 0.3% in the prior month. Compared to a year earlier, CPI gained 2.9%, up from 2.7% in November.
However, the surprise came with the so-called “” figure, which strips out volatile components like fuel and food. This rose 0.2% on a monthly basis and 3.2% year-on-year, below expectations for 0.3% and 3.3%, respectively.
Still, some on Wall Street continue to see risks for inflation and reiterate…
