Financial company shares gained as Treasury yields slipped after a mild inflation report for May had investors betting on rate cuts from the Federal Reserve starting in September.

U.S. central bank officials penciled in just one interest-rate cut for this year, indicating most are in no hurry to lower rates. The Fed also held its benchmark rate steady, in a range between 5.25% and 5.5%, a move that was widely expected.

New economic projections showed 15 of 19 officials expect the Fed to cut rates this year, with that group roughly split between one or two rate cuts. The median, or midpoint, of those projections reflected expectations of one rate cut.

Write to Patrick Sullivan at

(END) Dow Jones Newswires

06-12-24 1624ET