Wall Street Gains as Inflation Data Boosts Market

The stock market in New York has opened Tuesday's trading with rising prices after important inflation statistics were released in the afternoon.

» Published: August 12 2025 at 15:34

Wall Street Gains as Inflation Data Boosts Market
Photo: Yuki Iwamura/AP/TT

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Approximately 25 minutes after opening, the broad S&P 500 index has risen 0.4 percent and the technology-heavy Nasdaq's composite index has risen 0.4 percent and the Dow Jones industrial index 0.5 percent.

An hour earlier, a consumer price index (CPI) was released with somewhat scattered figures. The price increase rate on an annual basis landed in July at 2.7 percent, unchanged from June. But the so-called core inflation, cleaned for food and energy, rose from 2.9 percent in June to 3.1 percent in July, which was higher than expected.

All inflation statistics – not least CPI – weigh heavily on the levels of the country's interest rate, which the central bank Federal Reserve (Fed) will next decide on at its meeting on September 17-18.

The Fed's inflation target is 2 percent.

The market had on Monday priced in that the Fed with 87 percent probability will lower the interest rate next month from today's interval of 4.25-4.5 percent.

On Thursday, a producer price index will also be released.

A climber is processor manufacturer Intel, with CEO Lip-Bu Tan. This after President Donald Trump – after last week demanding the CEO's resignation – said that they had a "very interesting" meeting about a cooperation.

According to Intel, it was about "strengthening American leadership in technology and manufacturing".

Intel's share has risen 2.3 percent.

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By TTEnglish edition by Sweden Herald, adapted for local and international readers
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