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S&P 500
Benzinga
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Dow Jumps Over 250 Points; Fed's Key Inflation Gauge Remains Hot

1. U.S. stocks traded higher, S&P 500 rose 0.47% to 6,636.07. 2. PCE price index rose to 2.7%, above July's 2.6% and highest since February 2025. 3. Personal spending increased 0.6% month-over-month, beating market expectations. 4. Energy shares rose by 1%, while consumer staples fell by 0.3%. 5. Global markets showed mixed performance, with European stocks rising.

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FAQ

Why Neutral?

The mixed signals of rising PCE and stocks create uncertainty. Historically, high inflation can lead to tighter monetary policy, impacting S&P 500.

How important is it?

High inflation and personal spending data are crucial for market investors, influencing Fed policy outlook and market expectations.

Why Short Term?

Immediate reactions in the market are influenced by inflation data, which shapes short-term trading decisions, as seen with Fed responses.

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