US stocks open higher despite rise in producer prices

By Ovunc Kutlu

ISTANBUL (AA) - Major stock exchanges in the US opened Wednesday with gains, despite annual producer prices showing a jump in September.

The Dow Jones was up 68 points, or 0.2%, to 33,808 at 10.00 a.m. EDT (1400GMT), while the S&P 500 added 10 points, or 0.23%, to 4,369.

The Nasdaq, meanwhile, gained 62 points, or 0.46%, to 13,625.

Producer inflation annually rose 2.2% in September, marking the largest year-on-year increase since April, according to the Labor Department figures released earlier.

While the figure came in much higher than market estimates of a 1.6% increase, the annual increase in August was also revised up to 2%, from 1.6%.

Core producer prices, which exclude food, energy, and trade, jumped 2.8% on an annual basis, following a gain of 2.9% in August.

The VIX volatility index, also known as the fear index, fell 3.1% to 16.50. The 10-year US Treasury yield fell 1.2% to 4.597%.

The dollar index lost 0.16% to 105.65 while the euro added 0.23% to $1.0627 against the greenback.

Precious metals were in positive territory, with gold rising 0.6% to $1,872 an ounce and silver soaring 1.1% to $22.08.

Oil prices declined around 1.2%, with global benchmark Brent crude at $86.73 per barrel and US benchmark West Texas Intermediate at $84.81.