Wall Street edged lower as investors assessed key economic data ahead of the Federal Reserve’s meeting next week. The S&P 500 climbed to its highest level in nearly a week, as an inflation report cemented bets on a 25-basis-point rate cut at the Fed’s December 17-18 meeting.
The U.S. dollar rose after a hotter than expected inflation readout while the euro traded a touch lower following the European Central Bank’s decision to cut interest rates for the fourth time this year.
The European Central Bank cut interest rates for the fourth time this year and kept the door open to further easing ahead as inflation closes in on its goal and the economy remains weak.
EUR/USD traded sideways in the last session. The CCI is giving a negative signal.
Support: 1.0383 | Resistance: 1.0586
A meteoric rise in MicroStrategy’s shares has made the bitcoin hoarder a likely candidate for the tech-heavy Nasdaq 100 index ahead of an annual reshuffle this week. The loss-making software company, an aggressive investor in the highly volatile cryptocurrency, has seen its shares soar nearly 500% this year, taking its market capitalization to $90 billion.
The Canadian dollar strengthened against its U.S. counterpart as the Bank of Canada cut interest rates by half a percentage point, as expected, but shifted to more hawkish guidance on prospects for additional easing.
Britain’s FTSE 100 index nudged higher, led by precious metal miners, after the U.S. inflation print came in line with expectations, boosting the likelihood of a Federal Reserve rate cut next week. The blue-chip FTSE 100 was up 0.3%, while the midcap FTSE 250 was flat.
Shares of Google parent Alphabet rose about 5% after it unveiled a new generation chip that the company said helped overcome a key challenge in quantum computing. The new chip is called Willow, and it solved in five minutes a computing problem that would take a classical computer more time than the history of the universe.
Google’s stock rose 0.9% in the last session. The ROC is giving a positive signal.
Support: 176.69 | Resistance: 192.19
