The S&P 500 rally stalls as US-Iran deal gets delayed and the focus shifts to the US CPI report

The S&P 500’s rally has paused as the expected US-Iran deal failed to materialize, leaving the index in a consolidation phase ahead of key US CPI data. Market participants are now focused on tomorrow’s inflation report, which could reset expectations for Federal Reserve policy. A hotter-than-expected CPI reading would likely revive rate-hike bets and pressure equities, while a softer print could ease tightening fears and support another leg higher. Technically, the index is stalled near the top of its rising channel, with traders watching the prior record high for a breakout toward 8,000 or a pullback toward support near 7,725 and then 7,640. The article frames the CPI release as the main near-term catalyst for risk sentiment and the next direction in US stocks.