S&P 500 climbs above 5,600 level for 1st time in history

By Ovunc Kutlu

ISTANBUL (AA) - The US stock market index S&P 500 on Wednesday climbed above the 5,600 record-high level for the first time in history.

The index increased to the all-time high level of 5,600.76 level at 12.06 p.m. EDT (1606GMT).

It was trading at 5,602.42 level with a gain of 25.44 points, or 0.46%, at 12.15 p.m. EDT.

The index, which includes around 80% of the total market capitalization of publicly traded companies in US, closed above 5,500 record-high level on July 2 for the first time in history. It climbed above that level on June 20 but failed to hold above it.

The S&P 500 has been closing at record-high levels for five straight days, posting gains in nine of the last 10 trading days.

The recent rally in the index comes as investors' hopes are rising that the Federal Reserve's first rate cut could come in September.

The probability of a Fed rate cut of 25 basis points at the central bank's two-day meeting that will conclude on Sept. 18 increased to 71.8% on Wednesday, according to the FedWatch Tool provided by the US-based Chicago Mercantile Exchange Group.

Fed Chair Jerome Powell said Tuesday most recent inflation readings have shown some modest further progress in inflation, and more "good data" would strengthen the central bank's confidence that inflation is moving sustainably toward its 2% goal.

The consumer and producer inflation figures for June will be released Thursday and Friday, respectively, before the stock market opening at 8.30 a.m. EDT.