US open: Stocks up on inflation report
US stocks have surged ahead in opening trades after a better-than-expected reading in the government's inflation report.
The Labor Department said Consumer Price Index (CPI) rose 0.2% in April after rising 0.3% the previous month. Expectations were of a 0.3% increase.
Stripping out food and energy costs, the core CPI rose 0.1% versus predictions of a 0.2% increase. The decline in prices comes despite the largest jump in food prices in 18 years.
US fuel inventories data is due out today with crude currently down to $125.40 a barrel after hitting record trading highs on Tuesday.
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Across the markets, the Dow Jones is up 99 points to 12,931 with the Nasdaq rising 21 points to 2516. The S&P 500 is up 9 points.
In company news, US home funding firm Freddie Mac posted a widening of first quarter losses to $151m as the housing market deteriorated, though the results were better than expected. It also said that it plans to raise $5.5bn.
Department store operator Macy's posted a loss of $59m in the first quarter due to poorer sales and increased costs but it was still better than Wall Street's expectations.
Radio broadcaster Clear Channel said late Tuesday that it has agreed to a lower buyout offer from private equity firms.
