S&P500 Nearly Closes At 5000 – US Market Wrap

– The historic rally in US stocks continued to power ahead, with the S&P 500 closing within a striking distance of its 5,000 milestone.
– Governor Adriana Kugler presented an optimistic case for a continued slowdown in inflation while indicating little urgency to reduce borrowing costs. Fed Bank of Boston President Susan Collins said she is looking for more evidence that inflation is durably set to align with the target before moving to cut rates – though that step is likely “later this year.” Her Minneapolis counterpart Neel Kashkari told CNBC that officials need to see “a few more months” of inflation.
– That upbeat tone in equities persisted as the US government sold a record $42 billion of 10-year Treasuries at a lower-than-expected yield, signalling confidence that the Fed will cut rates this year.
– Also on Wall Street’s radar was a raft of central bank speakers – all showing no rush to cut rates as already signaled by Fed Chair Jerome Powell.
– Governor Adriana Kugler presented an optimistic case for a continued slowdown in inflation while indicating little urgency to reduce borrowing costs. Fed Bank of Boston President Susan Collins said she is looking for more evidence that inflation is durably set to align with the target before moving to cut rates, though that step is likely “later this year.” Her Minneapolis counterpart Neel Kashkari told CNBC that officials need to see “a few more months” of inflation data.