CPI Report and Oracle Earnings Highlight Morning Market Focus
The latest consumer price index (CPI) report showed prices rising by 0.4% in August, with the annual rate at 3.4%, aligning with expectations. Core CPI also increased slightly above forecasts. These figures come amid higher oil prices and a potential Federal Reserve interest rate hike next week, pushing traders to favor a quarter-point increase over 70%. Stock futures are up as investors prepare for market reactions. Oracle reported strong earnings, with cloud infrastructure revenue more than doubling year-over-year and overall revenue reaching $19.35 billion. However, the company's capital expenditures surged by over three times compared to last year, leading to negative free cash flow of $5.4 billion and a debt load exceeding $125 billion. President Donald Trump proposed giving every adult U.S. citizen a $5,000 'dividend' if Republicans win control in November's elections—a costly plan estimated at over $1.2 trillion—while the White House also announced smaller Obamacare refunds for some households.
Topics: CPI Federal Reserve market reaction oil prices