US stocks rebound as market tries to shake off inflation fears

By Ovunc Kutlu

ANKARA (AA) - US stocks opened higher on Friday, rebounding from the previous day’s losses as the market tries to shake off fears triggered by soaring inflation.

The Dow Jones was up 360 points, or 1.2%, to 30,990 at 9.40 a.m. EDT, following a drop of 42 points, or 0.46%, on Thursday.

The S&P 500 rose by 40 points, or 1.1%, to reach 3,730, while the tech-heavy Nasdaq increased by 116 points, or 1%, to 11,370.

Consumer inflation increased 9.1% in June annually, while producer inflation rose 11.3% last month, sparking worries that the Fed could make a rate hike of 100 basis points later in July.

The VIX volatility index, also known as the fear index, fell 4.2% to 25.29.

The 10-year US Treasury yield decreased 0.4% to 2.947%.

The dollar index was down 0.3% to 108.25, still hovering around its highest level in 20 years. The euro slightly recovered against the US dollar at $1.0085.

Precious metals were mixed, with gold falling 0.3% to $1,704 and silver rising 0.1% to $18.45.

Global oil benchmark Brent crude was up 1.9% to $101 per barrel, while the US benchmark West Texas Intermediate (WTI) was at $97.6, a 1.9% gain.