Stock Market Update

[BRIEFING.COM] The stock market opened in rally-mode following cooler-than-expected CPI data. Advancers lead decliners by a nearly 8-to-1 margin at the NYSE and by a better than 4-to-1 margin at the Nasdaq.

Losses in the mega cap and semiconductor spaces have limited index performance despite broad buying activity elsewhere. The equal-weighted S&P 500 is trading 1.1% higher.

The Vanguard Mega Cap Growth ETF (MGK) is trading down 0.3% and the PHLX Semiconductor Index shows a 0.5% decline.

A sharp drop in market rates, reflecting optimism about the inflation outlook and rate cut path, have acted as support for equities so far. The 10-yr note yield moved from 4.29% to 4.19% in response to the data. The 2-yr note yield, which is most sensitive to changes in the fed funds rate, moved from 4.63% to 4.51%.