US stocks close mixed after soft inflation report, but cap off 8th straight weekly gain

• US stocks closed mixed on Friday as the Fed's preferred inflation gauge came in below forecasts.

• But the major indexes notched an eighth straight weekly advance.

• "Disinflation is in the data now, and that is wildly positive for the economy and the market."

US stocks closed mixed on Friday as a key inflation report pointed to more cooling, finishing off another week of gains.

The personal consumption price index, the Federal Reserve's preferred inflation gauge, was up 2.6% in November on a yearly basis, down from the prior month's 3% pace and slower than expectations for a 2.8% gain. On a monthly basis, prices dipped 0.1%, marking the first such decline since April 2020.

The major indexes also notched their eighth consecutive weekly advance. The market's rally since late October has been fueled by hopes that the Fed is poised to ease monetary policy in 2024 as signs mount that inflation is headed toward the 2% target.

"Disinflation is in the data now, and that is wildly positive for the economy and the market. The Federal Reserve is very likely to begin cutting rates in March," Jamie Cox, managing partner for Harris Financial Group, said in a statement.

Next week, the seasonal Santa Claus rally could send stocks to record highs. Markets will be closed on Monday for the Christmas holiday and will reopen on Tuesday.

Here's where US indexes stood at the 4 p.m. closing bell on Friday: 

• S&P 500: 4,754.63, up 0.2%

• Dow Jones Industrial Average: 37,385.97, down 0.1%

• Nasdaq Composite: 14,992.97, up 0.2%

Here's what else happened today: 

• Nike's warnings on China should scare other companies that do business there.

• "Shark Tank" investor Barbara Corcoran offered housing market advice as buying conditions ease.

• Morgan Stanley's CEO blamed 2023's bank failures on "stupidity of their own management."

• Tesla's market capitalization will return to $1 trillion in 2024, analysts at Wedbush predicted.

• Tesla CEO Elon Musk complained about running a publicly traded company.

In commodities, bonds, and crypto: 

• West Texas Intermediate crude oil dipped 0.3% to $73.66 a barrel. Brent crude, the international benchmark, eased 0.25% to $79.19 a barrel.

• Gold ticked up 0.65% to $2,064.60 per ounce.

• The 10-year Treasury yield edged up 0.7 basis point to 3.90%.

• Bitcoin edged down 0.03% to $43,691.

Read the original article on Business Insider