U.S. stocks were surging on Wednesday morning as Treasury yields fell after core inflation data came in below expectations, boosting bets that the Federal Reserve will still be able to cut interest rates this year.
The Dow Jones Industrial Average was jumping over 600 points, or 1.5%, to around 43,125, according to FactSet data.
The S&P 500 was up 1.4%, to around 5,922.
The Nasdaq Composite was rising 1.7%, at around 19,361.
The consumer-price index report (CPI) for December showed U.S. inflation rose 0.4% in December for a year-over-year rate of 2.9%, according to the Bureau of Labor Statistics, but the so-called core CPI, which excludes food and energy costs, increased 0.2%, lower than Wall Street anticipated.
Investors were also digesting quarterly earnings from some of the biggest banks and financial firms. Shares of Goldman Sachs were giving a nice boost to the Dow, up 4.5% after the opening bell, according to FactSet data.
Source: Stock Market Today: Dow, S&P 500 and Nasdaq open sharply higher after
