Wall Street gains slight momentum as Inflation data meets expectations

In today’s session, Palantir stock tumbled nearly 3 percent, putting the stock on track for its seventh decline in the last eight sessions.

U.S. stocks climbed on Friday after the latest inflation report aligned with forecasts, offering some relief to investors at the close of a turbulent week and month.

The S&P 500 rose 0.3 percent, while the tech-heavy Nasdaq Composite gained 0.4 percent. The Dow Jones Industrial Average added 160 points, or 0.44 percent.

Despite Friday’s gains, February was a challenging month for equities. The Nasdaq dropped around 4.8 percent, weighed down by a steep 4.3 percent decline this week. This marks its worst monthly performance since September 2023. The S&P 500 also struggled, falling 1.8 percent for the week and 2.5 percent in February—its biggest monthly drop since April 2024 and worst weekly performance since September 2024. The Dow fared better on a weekly basis, edging up 0.2 percent, but still ended the month down 2.3 percent.

In today’s session, Palantir stock tumbled nearly 3 percent, putting the stock on track for its seventh decline in the last eight sessions.

The software firm has tumbled 17.1 percent this week, marking its steepest weekly drop since late February 2021, when it plunged 17.6 percent—its worst performance on record. If the losses hold, this would be the first time since August 2022 that Palantir posts consecutive double-digit weekly declines.

The Commerce Department’s latest report showed that inflation eased slightly in January. The personal consumption expenditures (PCE) price index, the Federal Reserve’s preferred inflation gauge, rose 0.3 percent for the month and 2.5 percent year over year. Core PCE, which excludes food and energy costs, also increased by 0.3 percent on a monthly basis and 2.6 percent from a year earlier—both in line with economists’ expectations.

Investor sentiment took a hit earlier in the week, rattled by policy uncertainties and weak economic signals. Adding to the volatility, chip giant Nvidia plunged 8.5 percent on Thursday, despite delivering strong earnings, further dampening risk appetite.