Mumbai, Dec. 19 -- The Nasdaq jumped 313.04 points (1.4%) to 23,006.36 and the S&P 500 advanced 53.33 points (0.8%) to 6,774.76, while the narrower Dow fluctuated before closing up 65.88 points (0.1%) at 47,951.85.

Wall Street rallied after the Labor Department reported a sharper-than-expected slowdown in inflation. Consumer prices rose 2.7% year-over-year in November, easing from 3.0% in September and defying forecasts of a pickup to 3.1%. Core CPI, excluding food and energy, also cooled to 2.6% from 3%, strengthening expectations that the Federal Reserve will continue cutting rates next year.

Jobless claims fell to 224,000, aligning with estimates and suggesting steady labor conditions. Tech stocks led the market higher as the Philade...