(CTN News) – Inflation: Despite a gloomy end to the week, Wall Street stocks rose early on Monday, thanks to mixed employment numbers. Traders looked forward to closely watched inflation data later that day.
There was an increase of 0.8 percent to 35,331.36 on the Dow Jones Industrial Average. In contrast, the broad-based S&P 500 climbed 0.6 percent to 4,504.30 on the S&P 500.
As the Nasdaq Composite Index rose 0.3 percent to 13,955.78, the tech-heavy Nasdaq Composite Index gained 0.3 percent as well.
In the latest US employment data released last Friday, fewer jobs were added to the US economy than expected in July, according to official numbers.
The Fed’s Inflation next policy decision is scheduled for September 20,
It is expected to raise interest rates by a minimum of 25 basis points, said Convera analyst Joseph Manimbo.
Fed officials, including governor Michelle Bowman, have stated that additional interest rate increases will be required if the central bank is to achieve its two-percent inflation target, but she and other policymakers have maintained that their decision will remain dependent on the data.
The president of the New York Federal Reserve, John Williams, said in an interview with The New York Times that there is a possibility that the Fed will bring down interest rates next year.
“At this point, it shouldn’t come as much of a surprise to hear that the Fed has some competing views out there,” said Patrick O’Hare, editor of Briefing.com in a Inflation recent article.
In spite of this, the market is eager to hear the Fed publicly announce in a public way that it will stop reducing rates, and that has not yet happened,” he said in a note to clients.
It is expected that the Fed’s decision will be influenced by the consumer inflation report due to be released on Thursday morning, which is a key data point.
There is a moderate expectation of an annual rate of 3.3 percent by analysts, up slightly from the figure that was reported in June.