Wall Street shook off worries over the Bank of Japan policy tweak as another round of US data bolstered bets on the so-called Goldilocks scenario of an economy that’s neither running too hot nor too cold.
The stock market powered ahead as key gauges of inflation showed further easing while Americans grew more optimistic about the economic outlook. When taken together with recent figures showing the US has remained fairly resilient despite aggressive rate hikes, the reports fueled speculation the Federal Reserve will be able to avoid a recession.