The New York stock market opened higher on the 16th (local time) amid a stabilization of wholesale prices.
As of 10:30 a.m. that day, the Dow Jones Industrial Average on the New York Stock Exchange (NYSE) was up 33.87 points (0.08%) at 40,056.78, the Standard & Poor's (S&P) 500 index rose by 2.02 points (0.03%) to 6,245.46, and the Nasdaq was up 11.74 points (0.06%) at 20,689.15.
The increase was attributed to solid earnings reports from banks. Major financial firms, including Bank of America (BOA), Goldman Sachs, and Morgan Stanley, reported results that exceeded market expectations. BOA noted that it recorded net income surpassing market expectations for the second quarter, with its stock up by 0.3%. Goldman Sachs achieved the largest revenue in its institutional sector for stock trading ever. However, its stock has fallen by about 1%. Morgan Stanley also reported solid earnings, but its stock has declined by nearly 3%.
The fact that U.S. wholesale prices remained unchanged last month also influenced the positive start. According to the Bureau of Labor Statistics (BLS), the Producer Price Index (PPI) for June showed no change compared to the previous month, with evaluations suggesting that President Donald Trump's tariff policy has limited impact on consumer and producer prices. The PPI is typically interpreted as a leading indicator for the Consumer Price Index (CPI). The PPI for June increased by 2.3% compared to the same period last year.
The core Producer Price Index, excluding energy and food, also remained unchanged month over month, falling short of expert forecasts of a 0.2% increase. Compared to the same period last year, it rose by 2.5%. While the final demand goods prices increased by 0.3% compared to the previous month, final demand service prices decreased by 0.1%. The prices for transportation and warehousing services fell by 0.9% from the previous month, impacting the overall decline in service prices.