US equity markets surged yesterday after US inflation in July remained at 2.7%

US equity markets once again saw strong gains yesterday. This, after US inflation in July remained at 2.7% level. This inflation rate is above the target inflation rate of 2% of US Federal Reserve. But it was still below expectations. The increase in US inflation rate was controlled because of lower energy prices. Core inflation, which does not include food and energy prices, increased by 3.1% in July. The expectations of an interest rate cut by US Federal Reserve increased after these numbers came. This in turn fueled the US markets, yesterday, 12^th August, 2025.

Nasdaq closed the day, yesterday, up by 296.50 points or 1.39%. S&P 500 closed the day, up by 72.31 points or 1.13%. Dow Jones closed the day, up by 483.52 points or 1.10%.

Euro Stoxx 50 ended the day, yesterday, up by 4.12 points or 0.077%. Dax ended the day, down by 56.56 points or 0.23%. FTSE 100 ended the day, up by 18.10 points or 0.20%.

Asian markets strongly in green today

Nikkei 225 is again continuing its rally today. At 8:55 a.m. IST, 13^th August, 2025, it is up by 582.90 points or 1.36%.  Hang Seng is up by 455.63 points or 1.82%. Shanghai Composite is up 20.95 points or 0.57%.  Kospi is up by 21.22 points or 0.67%.

Indian markets are again likely to see a day in red or one that is a mixed one, today. Indian trade officials told a Parliamentary panel yesterday that trade talks with USA for reaching a bilateral trade deal are still going on. The decline in July retail inflation rate to 1.55% may be taken in positively by Indian markets today.

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Source: Dow Jones