US stocks ended mixed on Tuesday, with the S&P 500 and the Nasdaq closing higher for a second straight day after softer-than-expected inflation numbers added to investor optimism. The Nasdaq Composite rose 1.6 percent, and S&P 500 gained over 0.7 percent, while the Dow Jones Industrial Average dropped more than 0.6 percent.
Earlier, the consumer prices rebounded moderately in April, with headline inflation increasing 0.2 percent last month on a monthly basis after dipping 0.1 percent in March, according to the Labor Department’s Bureau of Labor Statistics. The annual inflation rate fell to 2.3 percent, the lowest since February 2021, down from 2.4 percent in March. The core CPI, which excludes volatile food and energy prices, rose 2.8 percent on a yearly basis, matching the March print.