Stocks rose sharply on Wednesday after a key inflation reading showed a better-than-expected slowdown for rising prices. The Dow Jones Industrial Average jumped 513 points, or roughly 1.6%. The S&P 500 gained 1.7% and hit its highest level since early May, while Nasdaq Composite rose more than 2%. The headline consumer price index for June rose 8.5% year over year, and was flat compared to June. Economists surveyed by Dow Jones were expecting increases of 8.7% and 0.2%, respectively. Core inflation, which strips out volatile food and energy prices, also saw a smaller-than-expected increase.
Dow Jumps 500 Points, Nasdaq Surges 2% as Investors Cheer Lighter-Than-Expected Inflation Report
