U.S. stock futures rose on Wednesday as traders reacted to an important inflation report that could determine the near-term direction of interest rates. S&P 500 futures and Nasdaq 100 futures climbed 0.4% and 0.9%, respectively. The Dow Jones Industrial Average gained 144 points, or 0.3%. July’s consumer price index came in as expected, with the headline rising 0.1% in the month and the annual inflation rate landing at 3.4%. Core CPI, which excludes food and energy, advanced 0.2% last month and 2.5% on the year. The annual rate for both headline and core CPI marked a slight decrease from June. This comes as the Federal Reserve has been laser focused on the impact higher pricing pressures are having on the U.S. consumer, with three dissenters at the last meeting voting to raise rates. Those concerns have yet to abate, with U.S. oil prices pushing above $83 a barrel Wednesday, as hopes of a reopening of the Strait of Hormuz dwindle. However, odds that the central bank would leave its rates unchanged next month increased following the report, with Fed funds futures trading now pricing in a roughly 58% chance that it will keep its benchmark ​rate in its current range of 3.50% ​to 3.75%, according to the CME FedWatch tool. That’s up from more than 45% a week ago. “In-line inflation will keep the ‘no need to hike rates’ narrative that took hold after last week’s jobs report intact,” said Ellen Zentner, chief economic strategist at Morgan Stanley Wealth Management. “There will be another round of inflation data before the September FOMC meeting, so the storyline could still change. But unless those numbers tell a much different story, the Fed will likely still be in a position to leave rates unchanged next month.” Meanwhile, the latest quarterly results and guidance from CoreWeave and Super Micro Computer reassured investors that demand in the artificial intelligence buildout is stable. CoreWeave shares jumped 18% in premarket trade after the cloud infrastructure mainstay’s second-quarter adjusted operating income margin of 5% exceeded expectations, while its revenue doubled from a year ago. Super Micro Computer added 9% following a strong earnings and revenue forecast for the first quarter. Other stocks related to AI also gained. Dell Technologies and Micron Technology each advanced more than 2%, while Cisco Systems rose more than 1%. Additionally, U.S.-listed shares of Dutch neocloud specialist Nebius were also up more than 8%. U.S. Treasury yields were lower Wednesday as Wall Street studied inflation data for July that matched expectations and showed price increases may have continued to cool. The yield on the 10-year U.S. Treasury note—the key benchmark for pricing mortgages, auto loans, and credit card debt—fell 3 basis points to 4.654%. The 2-year Treasury note yield, which more closely tracks expectations for Federal Reserve interest rate policy, was off 4 basis points, at 4.178%. The longer-dated 30-year Treasury bond yield dropped almost 2 basis points, to 5.217%. Asia-Pacific markets ended mixed Tuesday. The Kospi rose 3.68% to end at 6,579.04, while the small-cap Kosdaq index added 0.12% to end the trading day at 858.91. Australia’s benchmark S&P/ASX 200 lost 0.45% to 9,209.40. Japan’s Nikkei 225 rose 0.83% to close at 67,524.06, while the Topix ended 0.94% higher at 4,139. Mainland China’s CSI 300 added 0.58% to 4,690.92. Hong Kong’s Hang Seng Index lost 0.98% in its last hour of trade. Oil prices rose Wednesday after attacks on vessels in the Red Sea and Gulf of Oman heightened concerns over risks to global shipping routes, even as diplomats signaled progress toward reopening the Strait of Hormuz. Brent crude futures, the international benchmark, gained about 1.24% to $90 per barrel. U.S. West Texas Intermediate crude futures advanced 1.3% to $84.3 per barrel. Gold ​prices rose more than ​1% on Wednesday, supported by ​easing expectations for a Federal Reserve rate hike next month as market participants awaited pivotal U.S. inflation data that is likely to shed light on the central bank’s future ⁠policy ‌path. Spot gold was up 1.1% at $4,414.63 per ounce ⁠by 0918 GMT. U.S. gold futures firmed 0.7% to $4,470.9. Bullion climbed to its highest since June 5 on Tuesday but retreated after facing resistance at its 100-day moving average near $4,387 an ounce, ending lower for ‌only the second time this month. Continue using AI Cursor?Keep it onTurn Off