- Shares rose on Tuesday after Federal Reserve officials calmed nerves amid faster inflation.
- The Nasdaq Composite and the Dow Jones Industrial Average were on track for a fourth straight win.
- Fed officials say the surge in inflation appears temporary.
- See more stories on the Insider business page.
US stocks gained ground on Tuesday, with a fourth straight win, as investors seemed to have a calmer view of the recent rise in inflation.
The Nasdaq Composite and the Dow Jones Industrial Average were on track to supplement the progress they have made over the past three sessions.
Comments from Fed Governor Lael Brainard and Atlanta Fed Chairman Raphael Bostic on Monday, who said the reopening of the world’s largest economy after the COVID-19 pandemic was driving prices to accelerate. These increases will likely be temporary, they said.
Here’s where the U.S. indices were at 9:30 a.m. Tuesday:
“Right now the big story is the Fed’s communication and how that communication trumps the concern that inflation should be a bigger concern than it is,” analysts said Tuesday. LMAX group. Consumer price hikes in April climbed to 4.2%, the fastest rise in more than a decade.
In the markets, shares of Lordstown Motors fell on Tuesday after the company lowered its annual production forecast and said it needed to raise more money as it wanted to start production of its electric pickup truck this year.
Gold rose 0.1% to $ 1,881.75 an ounce. Yields on long-term US Treasuries fell, with the 10-year rate falling to 1.59%.
Oil prices have fallen. West Texas Intermediate crude fell 0.5% to $ 65.70 per barrel. Brent, the international benchmark for oil, slipped 0.4% to $ 68.22 per barrel.
Bitcoin fell 4% to $ 36,987.31.