Stock Market Update
12-Aug-26 11:35 ET
In-line CPI sets market up for stable trade
Dow -17.93
at 53773.92,
Nasdaq +105.89
at 26572.36,
S&P +13.91
at 7742.11
[BRIEFING.COM] The S&P 500 (+0.2%), Nasdaq Composite (+0.5%), and DJIA (flat) are mostly higher just after midday amid another relatively quiet session for stocks this week.
Coming into the session, this morning's release of the July Consumer Price Index was touted as the most important market event this week. Both Headline (0.1%) and Core (0.2%) CPI were in line with expectations, which increased the market's expectations that the Fed will keep rates on hold at the September FOMC meeting and set the market up for what has been a relatively stable day of trading so far. The CME FedWatch tool now assigns a 59.6% probability to the Fed keeping rates steady at the next meeting, up from 51.6% yesterday.
The information technology sector (+1.1%) paces the gains, with some enthusiasm returning to the momentum trade following the earnings of CoreWeave (CRWV 106.23, +15.91, +17.62%), Super Micro Computer (SMCI 35.82, +4.22, +13.37%), and Lumentum (LITE 932.69, +112.10, +13.66%). The PHLX Semiconductor Index is up 3.0%, which is offsetting some weakness in software names and mega-cap tech stocks outside the sector.
Strength in the broader market is mixed, with a total of six S&P 500 sectors trading higher and advancers outpacing decliners by a slim margin on both the NYSE and Nasdaq.
