Stock Market Update

The stock market is poised for a higher opening following the June CPI report, which was better than feared but still feeds questions about the impact tariffs are having on pricing.

There will be relief that core CPI, which excludes food and energy, was up only 0.2% m/m; however, the apparel index was up 0.4% after being down 0.4% in May and down 0.2% in April, and the index for household furnishings and supplies was up 1.0% m/m following a 0.3% increase in May and a 0.2% increase in April.

The key takeaway from the report is that it will keep the Fed in its wait-and-see mode, not yet convinced that tariffs won't drive up inflation.

Shares of NVIDIA (NVDA 172.09, +8.02, +4.9%) are up in the pre-market after news that the company will be able to sell its H20 chips in China again.

Advanced Micro Device (AMD 158.83, +7.59, +5.19%) is also up pre-market after Bloomberg reported that the company intends to resume the sale of its MI308 chips to China.