S&P 500 and Dow Jones Industrial Average Rise Slightly Following Tame CPI Report

Stocks traded mostly higher but fairly flat Wednesday afternoon after July's Consumer Price Index showed U.S. inflation seemingly moderating, potentially paving the way for the Federal Reserve to cut interest rates at its September meeting.

The three indexes mostly gained ground after the U.S. Bureau of Labor Statistics reported before the bell that the Consumer Price Index – which measures retail inflation – rose 0.2% in July, matching economists' forecasts.

The annual inflation also eased to 2.9% -- below the 3% analysts had forecast, as well as the lowest level since 2021.

Markets hope that falling inflation will open the door for the Fed to cut its benchmark Federal Funds Rate when the central bank next meets in September. Lower rates historically help stocks by making bond and money-market interest less attractive as alternatives.

Meanwhile, individual stocks making significant moves as of shortly after 2 p.m. ET included: