Investing.com– U.S. stocks rose Friday, helped by data showing cooling inflation, lifting the chances of interest rates cuts near term.
At 06:0 ET (10:50 GMT), Dow Jones Industrial Average rose 550 points, or 1.4%, S&P 500 rose 40 points, or 0.7%, and NASDAQ Composite rose 95 points, or 0.6%.
PCE data keeps rate cut hopes alive
The PCE price index, the U.S. Federal Reserve’s preferred inflation metric, rose 0.1% on a monthly basis in June and 2.5% annually, both as expected.
The Federal Reserve meets next week, when the central bank is widely expected to keep rates steady.
The in-line data kept bets for an interest-rate cut by September intact.
Tech earnings continue next week
Tech earnings are set to continue in the coming week, with Microsoft (NASDAQ:MSFT) and Apple (NASDAQ:AAPL) due on Tuesday and Thursday, respectively. Prints from Advanced Micro Devices (NASDAQ:AMD), Qualcomm Incorporated (NASDAQ:QCOM) and Amazon (NASDAQ:AMZN) are also due next week.
On Friday, Bristol-Myers Squibb (NYSE:BMY) stock rose over 7% after the drugmaker posted better-than-expected second-quarter results, driven by growth from new products like anemia treatment Reblozyl and heart drug Camzyos as well as from its top-seller, blood thinner Eliquis.
3M Company (NYSE:MMM) stock soared 14% after the industrial conglomerate raised the low end of its full-year adjusted profit forecast expecting to benefit from restructuring measures and increasing demand for electronics.
Deckers Outdoor (NYSE:DECK) stock rose 10% after the athletics shoes and apparel company raised its annual profit forecast following a first-quarter results beat.
On the flip side, DexCom (NASDAQ:DXCM) stock slumped 40% after the medical device maker cut its annual revenue forecast, saying it had fewer new customers than expected.
Crude set for weekly losses
Crude prices fell Friday, on track for a third straight week of decline, largely due to weak demand in China, the world’s largest crude importer.
By 09:50 ET, the U.S. crude futures (WTI) traded 1.1% lower to $77.39 a barrel, while the Brent contract fell 1.2% to $81.34 a barrel.
The Brent contract was trading over 1% lower this week, while WTI was down over 3%, and the benchmarks have fallen over 5% in the last three weeks.
Concerns over waning demand in China have weighed heavily, with data this week showing the Asian giant’s apparent oil demand fell 8.1% to 13.66 million barrels per day in June.
(Ambar Warrick contributed to this article.)
