Wall Street Hits Record Highs on Cooler US Inflation Data

Wall Street has been reaching record highs recently, driven by softer-than-expected U.S. inflation data and strong corporate earnings which have increased optimism about Federal Reserve interest rate cuts. Inflation came in at 3% in September, below forecasts, prompting investors to anticipate multiple rate reductions by March 2026, with the Fed scheduled to cut rates soon. Major indexes such as the Dow Jones, S&P 500, and Nasdaq have all seen gains, supported by strong earnings reports from tech companies like Intel and steady profits from other sectors. Additionally, oil prices surged following President Donald Trump's announcement of new sanctions on Russia's crude oil industry, which boosted energy stocks and market sentiment. Despite some mixed corporate results, the overall trend shows strong profit growth, reinforcing investor confidence amid ongoing economic uncertainties. However, challenges such as a government shutdown and fluctuating commodity prices continue to add complexity to the economic outlook.