Us Stocks Gain After Cpi Release

Us Stocks Gain After Cpi Release by Ashly Chole last updated on February 18, 2025

little bullish jump was seen in most of the US stock index futures after the release of the US CPI (October). This allowed the US stocks to overcome the weaker tone which is a sign that the next rate cut is still on track.

Dow Jones is up by 0.1% which is equal to 40 points. Meanwhile, the S&P 500 is up by 0.1% or 7 points while the Nasdaq Composite has also jumped by 0.1%.

Rivian Automotive Gains 11%

While the future markets are trending higher, the Wall Street indexes moved lower. However, that had to do with the investors taking a profit.

The US CPI for October was 2.6%, an increase of 0.2% from the September's print. On a m/m basis, the inflation was around 0.2%.

If we look at individual stocks, the Rivian Automotive (RIVN) is up by 11%. This came after Rivian announced that Volkswagen would increase its investment in the company. Spotify Technology (SPOT) also gained 9% after reporting better-than-expected numbers.

CAVA Group (CAVA) was the star of the day as the stock gained almost 16%. This occurred after the firm announced a better-than-expected number for Q3.

However, Skyworks Solutions (SWKS) was not so fortunate, as it lost 2% of its value after reporting weaker forward guidance.

Meanwhile, the oil prices are still negative and are nursing the recent losses. The OPEC growth forecast has also been revised to a lower level, which doesn't provide any hope for the oil bulls. The Brent contract is trading at $71.47 with a 0.6% decline, while the WTI is trading at $67.61.

The overall sentiment is still positive in the Stock markets, but the recent CPI has led to some complications. The reading was high which has given a small hope that the Fed may delay its next rate cut.

Any delay in the rate cut could be bad news for the US stock markets, which usually thrive in lower rates.