Why Amazon Stock Soared Today
Shares of Amazon (NASDAQ: AMZN) surged 12% on Thursday, following an encouraging inflation report and news of more cost cuts designed to bolster the online retail giant's profitability.
The Consumer Price Index -- a closely watched measure of inflation -- rose 0.4% in October and 7.7% year over year. That was down from highs near 9% earlier in the year and better than Wall Street and many economists feared.
The news gave hope to investors that the Federal Reserve would soon be able to dial back its interest rate increases, potentially staving off a recession. The stock markets, in turn, rallied, with the S&P 500 and Nasdaq Composite rising a whopping 5.5% and 7.4%, respectively.
Source Fool.com
