US stocks rally as traders digest comments from Fed officials on coming rate hikes

us-stocks-rally-as-traders-digest-comments-from-fed-officials-on-coming-rate-hikes

Morgan Chittum

Michael M. Santiago/Getty Images US equities rallied Thursday as traders mulled over coming interest rate hikes. The Dow popped more than 300 points, supported by Salesforce’s gains on strong corporate earnings. Atlanta Fed President Raphael Bostic said he’s “very firmly” in favor of a quarter-point rate hike. Loading Something is loading.

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US stocks rallied Thursday as a Federal Reserve official’s comments on coming interest rates hikes cheered investors.

After opening in mixed territory, the major indexes closed in the green, even as the 2-year note yield reached levels not seen in over a decade. The Dow Jones Industrial Average popped more than 300 points to lead the gains, supported by Salesforce’s strong earnings.

Atlanta Fed President Raphael Bostic said that he’s “very firmly” in favor of a quarter-point hike for now, adding that it’s important for the central bank to move cautiously.

That comes after other Fed officials have hinted at the possibility of a half-point increase as recent data have pointed to a resilient economy that needs more slowing to get inflation under control. 

Earlier on Thursday, jobless claims fell for a third straight week, remaining below 200,000, in a sign the labor market is still strong.

Here’s where US indexes stood at the 4:00 p.m. ET close on Thursday:

S&P 500: 3,981.36, up 0.76%Dow Jones Industrial Average: 33,003.57, up 1.05% (341.73 points)Nasdaq Composite: 11,462.98, up 0.73%Here’s what else happened today:

There’s now a convenient way to be on the opposite side of every Jim Cramer trade, with the launch of an ETF that shorts the financial pundit’s stock recommendations.Economist Nouriel Roubini said a debt crisis, recession, and stagflation trifecta will hit the US economy this year.The odds of a catastrophic US debt default have more than tripled since the start of 2023, according to MSCI.China’s imports of seaborne Russian oil are on track hit a record high this month. In commodities, bonds and crypto:

West Texas Intermediate crude oil fell 0.62% to $78.12 per barrel. Brent crude, oil’s international benchmark, rose 0.4% to $84.60 a barrel. Gold slipped 0.3% to $1,84o.20 per ounce.The yield on the 10-year Treasury rose six basis points to 4.06%.Bitcoin fell 0.46% to $23,683, while ether dropped 0.28% to $1,654.  Read next

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