NEW YORK: Wall Street stocks rose early Monday on hopes inflation is moderating as investors await key consumer price data later in the week.
Investor sentiment has improved compared with earlier in the year, with stocks bouncing in late May and experiencing a mix of up and down days last week, said Adam Sarhan of 50 Park Investments.
“The lack of bad news in of itself has become good news,” Sarhan said. “There’s a lot of talk around peak inflation, which means that if inflation starts going down, the Fed may not have to be as aggressive as they broadcasted before.”
Wall St Week Ahead-US stock market rebound faces key inflation test
This week’s calendar includes the May consumer price report on Friday expected to influence key Federal Reserve decisions.
About 65 minutes into trading, the Dow Jones Industrial Average was up 0.9 percent to 33,181.36.
The broad-based S&P 500 gained 1.3 percent to 4,163.07, while the tech-rich Nasdaq Composite Index jumped 1.8 percent to 12,232.92.
Among individual companies, Spirit Airways jumped 6.1 percent as JetBlue sweetened its takeover bid for the carrier, increasing its breakup fee to $350 million from the $200 million previously offered.
JetBlue was up 1.9 percent, while Frontier Group, which had sealed a takeover agreement with Spirit, rose 3.1 percent.
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