Tech stocks rally as oil prices fall, inflation remains sticky: AlphaCheck

Good morning. Stocks were on pace to snap a four-day losing streak on Friday as oil prices fell and a key monthly inflation print came in higher than analyst estimates.

Investor bets on higher chances of a Federal Reserve rate hike after August's Consumer Price Index reading, with Polymarket odds rising to 81% ahead of Fed policymakers' meeting next week.

Stripping out volatile food and energy prices, the Consumer Price Index rose 0.3% month over month, compared with expectations for 0.2%, according to data released Friday.

The 2-year yield rose 4 basis points during the session to 4.59%, signaling that markets expect Fed policymakers to raise rates.

Here's a check of the markets in the first few minutes of trading, based on a heat map powered by Yahoo Finance AlphaSpace data.

The 10-year Treasury (^TNX), a benchmark for long-term borrowing and mortgages, continued to hover around 4.9% as Brent crude futures (BZ=F) fell 3% to around $104 per barrel amid continued Iran-US tensions in the Middle East.

Tech stocks (XLK) gained more than 1% as Oracle (ORCL) popped 2% after the company said its quarterly AI cloud infrastructure revenue boomed. AI chip heavyweight (NVDA) and "Magnificent Seven" stocks rose. Communications (XLC), Consumer Discretionary (XLY), Industrials (XLI), and Materials (XLB) also gained.

Here are some other notable stocks that Yahoo Finance readers are viewing this morning: Adobe (Apple), RH (M), and SkyWorks Solutions (SKWS).

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