US open: Stocks move higher, buoyed by inflation data and Fedspeak

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Wall Street was trading on the front foot at the end of the week, buoyed by better-than-expected inflation data.

As of 1823 BST, the Dow Jones Industrials was rising 0.62% to 41,362.66, alongside a 0.46% advance for the S&P 500 to 5,621.78.

Gold and crude oil futures were both higher, but the dollar and two-year US Treasury note yields were trading lower.

Helping sentiment, in remarks made overnight at a forum organised by The Breton Woods Committee, former New York Fed chief, William Dudley, said he saw a "strong" case for a 50 basis-point reduction when the Fed next met on 17-18 September.

"I know what I'd be pushing for," Dudley said, according to Bloomberg.

Fed funds futures were assigning 43% odds to a 50bp cut.

Boeing was in the news again, after 33,000 workers in the Pacific Northwest voted to go on strike, pushing the shares down by a further 3%.

Adobe shares shed 9% on the back of fourth quarter guidance from the software group that underwhelmed investors.

Oracle was rising 1% after lifting its medium-term revenue guidance above analysts' forecasts.

In other economic news, the Department of Labor reported a 0.3% month-on-month decline in import prices (consensus: -0.2%).

The University of Michigan's consumer confidence index edged up from a reading of 67.9 for August to 69.0 in September (consensus: 68.0).

Inflation expectations for a year ahead declined to 2.7% - the lowest level since December 2020 - to well within the 2.3-3.0% observed over the two years before the pandemic.

Dow Jones - Risers

Walgreens Boots Alliance, Inc. (WBA) $9.22 4.30%
Caterpillar Inc. (CAT) $346.21 1.95%
Home Depot Inc. (HD) $381.37 1.85%
Intel Corp. (INTC) $19.70 1.76%
International Business Machines Corporation (CDI) (IBM) $215.19 1.69%
American Express Co. (AXP) $259.32 1.63%
Travelers Company Inc. (TRV) $237.51 1.45%
Walt Disney Co. (DIS) $90.56 1.41%
Chevron Corp. (CVX) $141.12 1.37%
Goldman Sachs Group Inc. (GS) $479.83 1.22%