US open: Stocks mixed following September CPI reading

(Sharecast News) - Wall Street trading got off to a mixed start on Wednesday as traders digested September's consumer price report and another batch of bank earnings.

As of 1505 BST, the Dow Jones Industrial Average was up 0.07% at 51,707.04, while the S&P 500 shed 0.59% to 7,759.32 and the Nasdaq Composite came out of the gate 0.79% weaker at 26,988.80.

The Dow opened 36.94 points lower on Wednesday, extending losses recorded in the previous session as third-quarter earnings began to roll in.

Earnings were still in focus early on Wednesday as Bank of America reported a weaker third quarter as a $1.2bn Treasury penalty dragged profits down 17% to $6.93bn, with earnings of 91cents a share falling short of expectations and revenue rising 3.2% to $30.12bn, below forecasts after softer trading income, while BlackRock delivered a far stronger performance, pulling in $205bn of new client money as revenue jumped 19% yearonyear and assets under management hit a record $15.5trn, driven by $135bn of ETF inflows and $66bn into active strategies as the firm pushes deeper into higherfee private markets.

Morgan Stanley also delivered a solid thirdquarter beat before the open, posting earnings of $3.03 per share against the $2.91 expected and revenues of $20.34bn, ahead of the $19.95bn consensus. The bank benefited from the same strength in investment banking and equities trading that lifted results at Goldman Sachs and JPMorgan earlier in the week.

Outside of earnings, Wednesday's primary focus was news that US consumer prices rose 0.6% month-on-month in September, according to the Bureau of Labor Statistics, accelerating from August's 0.4% gain. Gasoline was the main driver, jumping 9.1% and contributing more than half of the monthly rise. The broader energy index climbed 5.2%. Shelter costs increased 0.4%, while food prices were flat overall, with a 0.2% rise in food away from home offset by a 0.1% decline in food at home.

Core CPI, which strips out volatile food and energy prices, rose 0.3%, matching August's increase. Gains were recorded in recreation, used vehicles, education, airline fares, medical care and apparel, while communication was among the few categories to decline. Over the past year, headline CPI advanced 3.7%, while core inflation stood at 2.6%, up from 2.4% in August. Energy prices surged 20.4% yearonyear, driven by a 34.2% jump in gasoline and food prices increased 2.5% over the same period.

Elsewhere on the macro front, US mortgage applications fell by 2.7% in the week ended 9 October, according to the Mortgage Bankers Association of America. Last week's drop marked the sixth consecutive decline to the lowest level since January 2025 and comes alongside a sharp increase in mortgage rates, with the benchmark 30-year fixed rate hitting an almost three-year high of 7.5%. Applications to refinance a mortgage, which are more sensitive to short-term changes in interest rate, fell by 0.45% week-on-week, while applications to purchase a home dipped 0.40%.

Oil prices were higher following the CPI print, with West Texas Intermediate up 1.26% at $95.33 a barrel and Brent crude futures 0.23% higher at $105.93 a barrel, extending a run of strength driven by tight supply and geopolitical risks.

Reporting by Iain Gilbert at Sharecast.com

Dow Jones - Risers

Unitedhealth Group Inc. (UNH) $392.51 4.17%

Merck & Co. Inc. (MRK) $144.91 2.04%

Amgen Inc. (AMGN) $423.36 1.84%

Intel Corp. (INTC) $101.21 1.07%

Procter & Gamble Co. (PG) $154.38 1.07%

Apple Inc. (AAPL) $346.55 1.01%

International Business Machines Corporation (CDI) (IBM) $232.20 0.94%

Johnson & Johnson (JNJ) $251.18 0.87%

Coca-Cola Co. (KO) $90.69 0.77%

Chevron Corp. (CVX) $219.68 0.76%

Dow Jones - Fallers

Travelers Company Inc. (TRV) $367.23 -1.31%

Caterpillar Inc. (CAT) $765.79 -1.04%

Microsoft Corp. (MSFT) $544.45 -0.91%

Walt Disney Co. (DIS) $107.89 -0.63%

Home Depot Inc. (HD) $291.81 -0.60%

Visa Inc. (V) $393.50 -0.47%

JP Morgan Chase & Co. (JPM) $331.53 -0.43%

Verizon Communications Inc. (VZ) $43.35 -0.41%

Nike Inc. (NKE) $35.20 -0.41%

American Express Co. (AXP) $308.11 -0.35%

S&P 500 - Risers

Seagate Technology Plc (STX) $744.23 5.48%

Western Digital Corp. (WDC) $377.58 4.78%

Unitedhealth Group Inc. (UNH) $392.86 4.17%

Eli Lilly and Company (LLY) $1,210.56 3.69%

Albemarle Corp. (ALB) $100.48 3.02%

Humana Inc. (HUM) $428.57 2.76%

Blackrock Inc. (BLK) $1,094.15 2.76%

Waters Corp. (WAT) $441.07 2.76%

Bath & Body Works, Inc. (BBWI) $18.45 2.56%

Accenture Plc (ACN) $217.65 2.42%

S&P 500 - Fallers

Coterra Energy Inc. (CTRA) $32.56 -8.62%

Progressive Corp. (PGR) $201.61 -8.59%

Bank of America Corp. (BAC) $49.83 -7.51%

State Street Corp. (STT) $161.26 -6.79%

Oracle Corp. (ORCL) $134.37 -6.59%

Applied Materials Inc. (AMAT) $453.98 -5.33%

Hewlett Packard Enterprise (HPE) $65.52 -5.25%

Akamai Technologies Inc. (AKAM) $97.31 -4.98%

Fortinet Inc. (FTNT) $188.12 -4.16%

Northern Trust Corp. (NTRS) $161.76 -4.07%

Nasdaq 100 - Risers

Seagate Technology Plc (STX) $744.23 5.48%

Western Digital Corp. (WDC) $377.58 4.78%

Ulta Salon, Cosmetics & Fragrance Inc. (ULTA) $578.23 2.05%

Amgen Inc. (AMGN) $423.54 1.84%

eBay Inc. (EBAY) $118.23 1.65%

Incyte Corp. (INCY) $111.10 1.46%

Paychex Inc. (PAYX) $107.42 1.43%

Skyworks Solutions Inc. (SWKS) $76.83 1.17%

Intel Corp. (INTC) $101.13 1.07%

Align Technology Inc. (ALGN) $143.55 1.01%

Nasdaq 100 - Fallers

Qvc Group Inc Series A (QVCGA) $0.34 -13.49%

Applied Materials Inc. (AMAT) $453.98 -5.33%

Fastenal Co. (FAST) $49.91 -3.28%

Lam Research Corp. (LRCX) $292.92 -2.96%

American Airlines Group (AAL) $12.21 -2.71%

Cadence Design Systems Inc. (CDNS) $334.87 -2.56%

Hasbro Inc (HAS) $93.36 -1.97%

Autodesk Inc. (ADSK) $231.71 -1.93%

Dollar Tree Inc (DLTR) $116.32 -1.91%

Synopsys Inc. (SNPS) $493.55 -1.83%