US stock indices edged higher on Tuesday after stronger-than-expected producer prices inflation and ahead of Federal Reserve Chair Jerome Powell’s speech later in the day.
A report showed that US producer prices (Producer Price Index) rose more than expected in April amid strong gains in the costs of services and goods.
Another key inflation data — Consumer Price Index (CPI) – is due on Wednesday.
At 09:44 a.m. ET, the Dow Jones Industrial Average rose 71.74 points, or 0.18 per cent, to 39,503.25, the S&P 500 gained 5.51 points, or 0.11 per cent, to 5,226.93 and the Nasdaq Composite gained 29.78 points, or 0.18 per cent, to 16,417.33.
At the opening bell, the S&P 500 was lower by 0.32 points, or 0.01 per cent, at 5,221.10, while the Nasdaq Composite gained 2.92 points, or 0.02 per cent, to 16,391.16. The Dow Jones Industrial Average rose 35.25 points, or 0.09 per cent, to 39,466.76.
Fed Chair Powell is due to speak at 10:00 a.m. ET.
The yield on the 10-year Treasury slipped to 4.46 per cent from 4.49 per cent late on Monday.
Tesla shares gained 3 per cent.
GameStop and other meme stocks continued their rally on Tuesday, in a reprise of the social media driven frenzy of three years ago.
US-listed shares of Alibaba shed 6 per cent after reporting a 86 per cent drop in fourth quarter profit.
Crude oil
Oil prices were flat on Tuesday after OPEC maintained its global oil demand forecasts.
Brent crude futures fell 9 cents to $83.27 a barrel at 1102 GMT, while US West Texas Intermediate (WTI) crude futures also lost 9 cents to $79.03 a barrel.
Bullion
Gold prices appreciated on Tuesday as investors awaited the crucial inflation data.
Spot gold was up 0.4 per cent at $2,345.39 2 per ounce by 1209 GMT. US gold futures rose 0.4 per cent to $2,351.20. Spot silver rose 0.7 per cent to $28.39 per ounce.
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Published: 14 May 2024, 07:25 PM IST
