Stocks rise as inflation report keeps Fed on track for hikes

By DAMIAN J. TROISE
AP Business Writer

Stocks rose in morning trading on Wall Street Wednesday after the latest report of surging prices appeared to keep the Federal Reserve on track to raise interest rates later this year. The S&P 500 rose 0.7%, the Dow Jones Industrial Average rose 0.4% and the Nasdaq rose 0.9%. The gains were led by technology stocks. Bond yields were relatively stable. Inflation jumped 7% last month, its fastest year-over-year pace in nearly four decades, but in line with economists’ forecasts. Fed Chair Jerome Powell told Congress Tuesday the Fed stands ready to raise rates to fight inflation.