Wall Street ended a week of losses with a broad market rise on Friday, as investors hailed solid profits from major corporations as well as an upbeat survey on consumer mood and inflation predictions.

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According to a July study conducted by the University of Michigan, inflation expectations have remained stable or improved, as has general consumer mood. The result came as a great relief after numerous government studies this week revealed that consumer prices, as well as wholesale prices for businesses, remained exceptionally high in June.

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The news is particularly encouraging for investors searching for signals that the Federal Reserve may ultimately slack off its tough inflation-fighting programme.

The S&P 500 gained 1.9%, breaking a five-day losing trend. Still, the gains weren’t enough to pull the benchmark index out of the red for the week.

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The Dow Jones Industrial Average rose 2.1% and the Nasdaq gained 1.8%. Smaller company stocks outgained the broader market, sending the Russell 2000 index 2.2% higher. Those indexes also posted losses for the week, however.

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Technology stocks, banks and healthcare companies made some of the biggest gains. PayPal climbed 6.3%. UnitedHealth Group rose 5.4% after raising its profit forecast for the year following a strong earnings report. Citigroup jumped 13.2% for the biggest gain in the S&P 500 after reporting encouraging financial results.

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Bond yields mostly fell. The yield on the 10-year Treasury slipped to 2.92% from 2.96% late Thursday. The yield on the two-year Treasury rose to 3.14% from 3.13% late Thursday.

Traders have eased off of their bets that the Fed will issue a monster rate hike of 1% at its next policy meeting in two weeks. They now see a 30.9% chance of that happening, according to CME Group. That’s down significantly from Thursday. They now see a 69.1% chance of three-quarters of a percentage point rate hike.

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Economic data also shows that retail sales remain strong. A government report showed that retail sales rose 1% in June from May, topping economists’ expectations, while prices for everything from food to clothing rose.

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The Dow rose 658.09 points to 31,288.26 and the Nasdaq rose 201.24 points to 11,452.42. The Russell 2000 gained 36.87 points to 1,744.37.