U.S. stocks rebound after four-session slide as oil prices retreat

  • U.S. stocks rebounded after four consecutive sessions of losses.
  • Brent crude fell 2.81% to $104.61, while WTI dropped 2.37% to $100.05.
  • Markets priced an 86.3% chance of a 0.25-point Fed increase next week.

U.S. stocks ended a four-session losing streak on the 11th as falling oil prices and largely expected August consumer price index (CPI) data revived investor sentiment. The Dow Jones Industrial Average rose 0.98% to 52,573.29, the S&P 500 gained 0.86% to 7,656.98 and the Nasdaq Composite advanced 0.96% to 26,333.04. Brent crude fell 2.81% to $104.61 a barrel and West Texas Intermediate dropped 2.37% to $100.05, marking their first declines in six and nine sessions, respectively. Headline CPI rose 0.4% monthly and 3.4% annually, matching expectations, while core CPI increased 0.3% monthly versus a projected 0.2%. Markets priced an 86.3% chance of a 0.25 percentage-point Federal Reserve rate increase at next week's Federal Open Market Committee meeting, up from 72.4% the previous day. The 10-year Treasury yield briefly approached 4.99% before retreating into the mid-4.9% range. Globalt Investments senior portfolio manager Thomas Martin said the increase was "pretty much a done deal" and positive for curbing inflation.

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