Weak US Data Cuts Fed Rate-Hike Odds, Lifts Stocks

Macro
·US
Summary · why it matters

US stocks found support after weak retail sales and consumer sentiment data lowered the odds of a September Federal Reserve rate hike to 29% from 35%. July retail sales fell 0.6% month-over-month, far below the expected 0.1% gain, while the University of Michigan's preliminary August consumer sentiment index dropped 4.2 points to 51.0. The S&P 500 was up 0.02%, the Dow Jones Industrial Average down 0.08%, and the Nasdaq 100 up 0.15%. Tech stocks got a lift from an overnight rally in South Korea's Kospi, where Samsung Electronics and SK Hynix surged more than 15% this week. Oil prices were little changed as the Trump administration shifted to economic pressure on Iran rather than new military strikes, with Treasury Secretary Bessent promising unprecedented measures.

Impact on stocks 0