S&P closes at record high as rate hike fear abates

The S&P reached a further record high at closing yesterday, as disappointing economic data coming out of the US alleviated fears of an interest rate rise in the near future.

The index closed up 0.3% to the 2129.2 level while the Dow Jones also neared its record high, gaining 0.14% to close at 18,298.88, the index’ highest since 2 March. Both indices were helped by softer economic data, including disappointing retail sales and weaker sentiment among house builders, which prompted anticipation of a further delay in interest rate rises. In addition, Chicago Fed President’s Charles Evans, one of the more dovish members of the Federal Reserve, said he wanted to see more evidence of a US rebound before he would support raising rates, according to the FT. He ...