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Dow surges at the stock-market open after CPI data show inflation rose less than expected

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The U.S. stock market opened sharply higher after a fresh report on inflation showed the cost of living in November rose less than anticipated. The Dow Jones...

The U.S. stock market opened sharply higher after a fresh report on inflation showed the cost of living in November rose less than anticipated. The Dow Jones Industrial Average DJIA, +1.56% was up more than 650 points, or 2% soon after the opening bell, while the S&P 500 SPX, +2.46% gained 2.6% and the Nasdaq Composite COMP, +3.47% jumped 3.7%, according to FactSet data, at last check.

Inflation, as measured by the consumer-price index, edged up 0.1% in November for a year-over-year rate of 7.1%, the U.S. Bureau of Labor Statistics said Tuesday. Economists polled by the Wall Street Journal had forecast that the consumer-price index would rise 0.3% last month. So-called core CPI, which excludes energy and food prices, showed the cost of living in the U.S. increased 0.2% in November for a rise of 6% over the past 12 months.

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