The U.S. stock market experienced a notable gain today in the U.S. session where the market has gone up to 1788 after testing the support level of 1760 from yesterday, as the inflation numbers came out to be better than expected. The core CPI came out to be 0.2% for the past month that shows that the demand has increased for the consumer goods that led to the increase in prices, hence signaling good consumer spending power in the market.
However, buyers must be aware of the fact that the last FOMC meeting of this year is due tomorrow night where the decision regarding whether to taper or not to taper would come out, which could surely shape the direction of the market for at least 2 to 3 weeks. Bullish momentum would not be there as long as the SP 500 index does not break its psychological resistance level of 1800 and sustain above it.
Gold tested its resistance level at 1252 yesterday where it made double top within a month, after which it dropped down today and is currently trading at 1232 level. As mentioned earlier that the metal would play in a wider range as long as it does not move below 1200 or above 1255 level. A sharp move is expected in the gold market before the end of this month where we may see good volatility tomorrow as well, depending on what statements come out from the side of FOMC members in the meeting.
Boeing is Flying
Boeing stocks gained a good 2.2% in their value as the company has confirmed a huge chunk of shares to be bought back by it in history, while boosting up the dividend for the investors. No doubt both these news have gained the confidence among the investors significantly. Moreover, the analysts are predicting that the sales and earnings report for the fourth quarter of the jet-maker giant would be highly impressive as the company has cut down on its costs and has penned a couple of deals with airline companies as well.
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