Stock Market Rises on Soft Inflation Data Despite Weak Jobs Report
Equities climbed as cooler-than-expected producer price figures offset disappointing labor market data. The S&P 500 and Nasdaq 100 both closed higher, with traders interpreting the mild PPI reading as reducing pressure for aggressive Fed tightening.
May''s producer prices rose just 0.1% monthly, below forecasts, while Core CPI also came in softer than anticipated. The inflation moderation contrasted with jobless claims hitting 248,000 - exceeding estimates and signaling potential labor market softening.
Goldman Sachs trimmed its recession probability to 30%, reflecting growing confidence in economic resilience. The bank simultaneously raised its 2025 GDP growth projection to 1.25%, suggesting cautious Optimism about the expansion''s durability.
