Industry

US stocks open higher with slowdown in producer inflation

US stocks opened lower Wednesday as a slowdown in producer inflation calmed worries amid the Federal Reserve's rate hikes.

The Dow rose 26 points, or 0.08%, to 33,936 at 9.39 a.m. EDT. The S&P 500 added 9 points, or 0.23% to 3,999.

The tech-heavy Nasdaq increased 52 points, or 0.48%, to 11,148 points.

Annual producer inflation eased to 6.2% in December, falling from November's annual gain of 7.3%.

The slowdown in the producer price index shows that the Fed's aggressive rate hikes are working to tame high inflation and the central bank could take a softer stance with monetary tightening.

The VIX volatility index, also known as the fear index, was down 1.3% to 19.10. The 10-year US Treasury yield plummeted 3.9% to 3.397%.

The dollar index fell 0.76% to 101.61, while the euro rose 0.74% to $1.0868 against the greenback.

Precious metals were in positive territory, with gold increasing 0.6% to $1,920 per ounce and silver gaining 1.3% to $24.23.

Crude oil prices were up around 2%, with global benchmark Brent crude rising 1.8% to $87.45 per barrel and US benchmark West Texas Intermediate at $82.30 -- a 2.3% daily increase.

Source: Anadolu Agency