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8A Daily News – Friday, June 15, 2012 NEW YORK (AP) — The stock market headed higher Thursday after a tame inflation reading and another weak jobs report raised expectations that the Federal Reserve is closer to offering more support for the U.S. economy. The market had a tempo- Stocks rise on Wall Street on hopes for Fed action Wall Street major central banks were preparing for coordinated action to prop up financial markets in the event that Greek elections this week- end cause tumultuous trad- ing. rary surge late in the day after Reuters reported that will announce new steps to boost the economy when it meets next week. Low infla- tion gives the Fed more lee- way to inject money into the financial system, keep inter- est rates low and encourage borrowing. The Dow Jones industri- The Dow jumped about 100 points after the report came out, putting it up 202 points on the day, but the excitement quickly faded. Within 20 minutes the index was trading slightly above where it was before the report came out, up 131 points, or 1 percent, at 12,627 with half an hour of trading left. ployment benefits rose last week, according to the latest government report. The four-week average increased for a third straight week, another sign that the jobs market remains weak. The government's main measure of U.S. consumer prices fell in May by 0.3 percent, the biggest drop since December 2008. Ana- lysts said the slowdown in price increases could make it more likely that the Fed Applications for unem- Over 25 years of experience The North State's premier supplier of stoves STOVE JUNCTION Wood Burning Stoves Did you know? We've Got Exempt From No Burn Days! 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The Nasdaq com- posite gained three points to 2,822. The gains were broad. Nine of the 10 industry groups in the S&P 500 made gains and more than two stocks rose for every one that fell on the New York Stock Exchange. Just the whiff of another round of help from the Fed has been enough to shoot stocks higher in recent weeks, but the gains often disappear as quickly as they arrive. Last Wednesday, the A Full Service Nail Salon Debi Tips N Toes 20% Off to new clients Owner/Operator Antelope Blvd Suite "F" • Red Bluff Shop COMPLETE AUTO REPAIR recommened 30K, 60K, 90K SERVICES AT LOWER PRICES All makes and models. We perform dealer Smog Check starting at$ Pass or FREE retest 527-9841 • 195 S. Main St. (most cars and pick-ups) 2595 + cert. $ Dow posted its best day this year, surging 286 points. Comments from a Fed offi- cial that hinted at more stimulus helped launch the rally. Fed Chairman Ben Bernanke told a closely watched Congressional hearing that no new steps were being contemplated at the moment. The question of will or after The rally fizzled the next day, however, won't the Fed act next week is top of mind for investors. The Fed's latest round of bond purchases winds down at the end of this month, and market players wonder whether a third is on the way, or if the current program might be extended. By making tril- lions of dollars' worth of bond purchases, the Fed helps keep interest rates ultra-low and encourages investors to put money into other assets, like stocks. ''Ultimately, all that matters for investors right now is whether these devel- opments mean the Federal Reserve is more or less likely to ease policy in order to support what they may see as an insufficiently strong economic recov- ery,'' said Dan Greenhaus, chief global strategist at the brokerage BTIG, in a note to clients. 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