Market Surges as U.S. Inflation Slows and Bank Earnings Impress

Global markets soared as U.S. core inflation rose less than expected, boosting hopes for Federal Reserve rate cuts. Investors were buoyed by stellar bank earnings. The dollar weakened, and Treasury yields fell, while stock indices made significant gains.

Global equities rallied on Wednesday as core U.S. inflation rose less than expected, triggering hopes that the Federal Reserve may ease interest rates further.

Investors celebrated positive U.S. bank earnings, spearheaded by record-breaking profits from major players like JPMorgan and BlackRock.

The dollar fell amid expectations of a potential rate hike by Japan's central bank, while U.S. Treasury yields declined after inflation data eased fears of rate increases.

(With inputs from agencies.)