Dow gains 597 points as Waller comments ease bets on September Fed rate hike

  • Christopher Waller said continued inflation progress could support holding the policy rate steady.
  • Dow Jones Industrial Average rose 597 points to 53,658.71 by 12:20 p.m. ET.
  • Bitcoin gained 4.6%, lifting Robinhood, Circle, Strategy, Coinbase and Bullish shares.

U.S. stocks rallied broadly Thursday after Federal Reserve Governor Christopher Waller said continued progress toward the central bank’s 2% inflation goal could support holding interest rates at their current level. Traders priced roughly a 50% probability of a September rate hike, down from about 70% earlier in the week. At 12:20 p.m. ET, the Dow Jones Industrial Average was up 1.1%, or 597 points, to 53,658.71, the S&P 500 had gained 0.96% to 7,740.14 and the Nasdaq 100 had risen 1.0% to 29,439.78. The 10-year Treasury yield fell to 4.75% from an earlier weekly high of 4.81%, while the dollar index slipped to 99. Bitcoin rose 4.6% to about $80,900, lifting crypto-linked shares including Robinhood Markets, Circle Internet Group, Strategy, Coinbase Global and Bullish. Software stocks led broader gains after Snowflake raised its revenue and margin outlook, while packaged-food shares fell following weaker guidance from Campbell’s and Tyson Foods. The ISM Services PMI increased to 55.4 in August, although its prices-paid subindex reached a four-year high of 72.6.

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