- All major indices rose Tuesday morning after inflation data revealed prices rose less than expected in August.
- The Consumer Price Index gained 0.3% last month, reflecting a slowdown in price pressure from the July 0.5% gain.
- SEC chair Gary Gensler will appear before the Senate banking committee later today.
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US stocks climbed higher Tuesday after key inflation data revealed prices rose less than expected in August.
The Consumer Price Index– a popular measure of nationwide price growth – gained 0.3% last month. That was less than the 0.4% jump expected by economists and reflected a slowdown from July's 0.5% increase.
Despite positive inflation data, investors are still navigating the historically worst month for stocks on record alongside uncertainty over new coronavirus cases and the pace of the economic recovery. Piper Sandler's Craig Johnson remains bullish.
"Despite some headwinds, we believe the U.S. economy remains on solid footing supported by accommodative monetary policy and robust corporate earnings," said the firm's chief market technician. "Technically, market breadth and momentum have deteriorated amid the recent pullback, but the long-term uptrend on the SPX remains intact, suggesting dips should be bought."
Here's where US indexes stood at the 9:30 a.m. ET open on tk:
- S&P 500: 4,485.02, up 0.36%
- Dow Jones industrial average: 34,959.54, up 0.26% (89.91 points)
- Nasdaq composite: 15,177.79, up 0.48%
Securities and Exchange Commission chair Gary Gensler will appear before the Senate banking committee later today. Gensler indicated in his prepared remarks he's looking to increase the pressure on crypto exchanges, which he has previously said he would like to regulate more closely.
"This technology has been and can continue to be a catalyst for change, but technologies don't last long if they stay outside of the regulatory framework," Gensler said in his prepared remarks. "I believe that the SEC, working with the CFTC and others, can stand up more robust oversight and investor protection around the field of crypto finance."
Bitcoin traded around $46,400. The world's largest cryptocurrency fell sharply last week from over $52,000 to around $45,000, where it has hovered since.
Gold was flat around $1,793 per ounce.