- Stocks climbed higher, taking the S&P 500 near its all-time high.
- A downgrade revision in March's producer price index helped curb inflation concerns.
The S&P 500 closed just under its all-time high on Tuesday, and the Nasdaq hit a new record as markets prepared for a key April inflation report.
While April's producer price index gained 0.5% against expectations of a 0.3% rise, March's data was revised to show a 0.1% decline. For the time being, that was enough to curb worries of stubborn inflation, and investors remain optimistic about $4.
Many are also waiting to see Wednesday's consumer price index release, before determining whether to retreat from markets. In the meantime, traders tuned into commentary from Federal Reserve Chairman Jerome Powell, who signaled that rates will need to stay higher for longer.
"Tomorrow's CPI report becomes even more important for any signs suggesting that the path towards price stability has gained momentum," Quincy Krosby said, Chief Global Strategist for LPL Financial. "An overriding question -- and potential dilemma -- hovering over markets is whether the broader economic landscape is softening at the same time inflation inches higher, making the Fed's job increasingly difficult."
Among other notable movers was a sustained rally in meme stocks, with the likes of GME and AMC rallying aggressively for their second day.
Here's where US indexes stood at the 4:00 p.m. closing bell on Tuesday:
Here's what else is going on today:
- 5 trades to pursue if $4, according to Bank of America.
- $4, think tank says.
- An unprecedented number of $4, veteran analyst says.
- A$4 - it could mean record highs this summer, Bank of America says.
- Here are $4, according to JPMorgan.
In commodities, bonds, and crypto: