Stock Market Live October 24: S&P 500 (SPY) Running on Lower Than Expected Inflation

"The major indices could see higher highs, especially with inflation cooler than expected. CPI, or the consumer price index, hit 3%, which was lower than the 3.1% expected for September. Once we cut out food and energy, core CPI showed a 0.2% monthly gain and an annual rate also at 3%, compared to estimates of 0.3% and 3.1%, respectively. These numbers should pave the way for the Federal Reserve to cut interest rates at its two remaining meetings this year."

"Intel ( NASDAQ: INTC), for example, is up after posting third-quarter sales that were above expectations. Revenue of $13.65 billion was above expectations of $13.14 billion. Net income of $4.1 billion, or 90 cents per share, was reported. That's comparable to a net loss in the year-ago quarter of $16.6 billion, which was also reported. As a result, analysts at Morgan Stanley reiterated its equal weight rating on Intel, noting that earnings were encouraging."

"Analysts at KeyBanc Capital say Amazon ( NASDAQ: AMZN) should benefit from the AI boom. "AWS has still been growing absolute revenue dollars near or better than competitors. Further, we view the ramp of gigawatt data center clusters (e.g., Project Rainier) and customers like Anthropic as a potential driver of revenue acceleration into 2026. In short, we would be surprised if AWS was left behind in the AI revolution," said the firm, as quoted by CNBC. The analysts have an overweight rating on AMZN with a $300 price target"

Headline CPI for September rose 3%, below the 3.1% estimate, while core CPI excluding food and energy increased 0.2% month-over-month and 3.0% year-over-year. Cooler inflation increases the likelihood of Federal Reserve interest-rate cuts at the two remaining meetings this year. Corporate earnings contributed to market strength: Intel reported Q3 revenue of $13.65 billion and net income of $4.1 billion, reversing a prior-year loss, while Procter & Gamble posted adjusted EPS of $1.99 and revenue of $22.39 billion. Analysts at KeyBanc flagged AWS growth and AI-related data center ramps as a potential revenue driver for Amazon into 2026.

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