As the trading week approaches its conclusion, US benchmark equity indexes were showing a tendency to struggle for direction. Investors kept a watchful eye on the impending Federal Reserve monetary policy decision expected to be announced next week. The Dow Jones Industrial Average experienced a slight decline of 0.1%, settling at 43,855.6, while the Nasdaq Composite saw a modest increase of 0.1%, reaching 19,924.
The S&P 500 remained relatively stable, holding at 6,052.8. In sector performance, communication services faced the most notable decline, while technology stocks emerged as the leaders in gains. This comes amid the release of crucial US economic data throughout the week, which indicated that monthly consumer inflation accelerated in November, aligning with market predictions.
Additionally, producer prices exceeded expectations, further adding to the market's volatility. Current market expectations suggest a 97% probability that the Federal Open Market Committee will opt to lower interest rates by 25 basis points in the upcoming decision, a notable increase from 86% the week prior, as indicated by the CME FedWatch tool. In the bond market, the US 10-year yield increased by 7.9 basis points, reaching 4.40%, while the two-year rate rose 5.9 basis points to 4.25%.
Meanwhile, the price of West Texas Intermediate crude oil moved up by 1.7%, now priced at $71.20 per barrel..