You are here: Home » Reuters » News
Business Standard

Wall Street higher as easing inflation worries outweigh Tillerson exit


By Sruthi Shankar

(Reuters) - Wall Street's main indexes rose on Tuesday as fears of faster interest rate hikes eased after a tepid U.S. consumer prices data and investors shrugged off of U.S. Rex Tillerson's ouster.

U.S. fired Tillerson on Tuesday after a series of public rifts over issues including and Russia, replacing his with loyalist CIA

U.S. futures initially fell on the news, but recovered all of the losses, with the Nasdaq opening at a record high.

"I don't think Tillerson out and his replacement is a shock to the market that lasts very much at all. The turnover in the is so high," said David Kotok, Of money management firm Cumberland Advisors, Sarasota,

The comes just a week after the departure of Trump's in the wake of a surprise turn towards new trade tariffs on and aluminum.

Trump also said he was considering "very strongly" to become his next top

At 9:41 a.m. ET, the was up 0.59 percent at 25,326.75.

The gained 0.55 percent to 2,798.46 and the rose 0.59 percent at 7,633.14.

The markets took comfort from data that showed U.S. consumer price growth slowed in February amid a decline in gasoline prices and a moderation in the cost of rental accommodation.

The data was the latest indication that an anticipated pickup in probably will be only gradual, providing little reason for the Federal Reserve to raise interest rates more than three times in 2018.

"It certainly presents some more difficult questions for the central if they look to embark on a more aggressive hiking cycle next week. What's the end point for them? How do they expect to get materially higher if they are already starting to see some signs of spotty weakness," said Aaron Kohli, interest rate strategist, in

All the 11 S&P sectors were higher and 28 of the 30 Dow components were in the positive territory.

was among the top decliners, falling 4.3 percent after cut its price target on the stock to $11 from $14, saying the was not a "safety stock" in a volatile market.

(Reporting by in Bengaluru; Editing by Arun Koyyur)

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Tue, March 13 2018. 20:01 IST