Stocks Rise Pre-Bell as Investors Assess Latest Economic Data; Fed Rate-Cut Optimism Continues

07:28 AM EST, 11/26/2025 (MT Newswires) -- The benchmark US stock measures were trending higher before Wednesday's open as investors digest key economic data amid continuing optimism that the Federal Reserve will deliver another rate cut next month.

The S&P 500 rose 0.3% and the Dow Jones Industrial Average was up 0.1% before the bell, while the Nasdaq gained 0.4%. The indexes closed Tuesday higher for a third straight session.

US stock markets will be closed on Thursday for the Thanksgiving holiday and will shut early at 1 pm ET Friday.

US producer prices rose 0.3% on a seasonally adjusted basis in September, compared with a 0.1% decline in August, delayed data from the Bureau of Labor Statistics showed Tuesday. The latest reading matched the consensus in a survey compiled by Bloomberg. Annually, cost growth was unchanged at 2.7%, beating analysts' estimate for a 2.6% rise.

"The latest read on inflation is likely to intensify the ongoing debate among Fed officials as to their next policy move," Stifel said in a note. "While inflation held steady in September, posting no additional upward momentum on an annual basis, the lack of downward improvement from a still-elevated level raises concerns any further policy easing could risk an acceleration of price pressures, or at the very least, stunt potential gains back towards the 2% target."

The probability that the Federal Reserve will reduce its benchmark lending rate by 25 basis points next month stood at 83% on Tuesday, according to the CME FedWatch tool.

Retail sales rose less than expected in September, delayed data from the US Census Bureau showed Tuesday. Annually, retail sales grew 4.3% in the period, a deceleration from a 5% jump the previous month.

Wednesday's economic calendar includes the weekly mortgage applications bulletin at 7 am, followed by the delayed report on durable goods orders for September and the weekly jobless claims bulletin at 8:30 am. The weekly EIA report on petroleum inventories will be released at 10:30 am.

The Fed's Beige Book, a compilation of economic and business reports from the 12 regional Fed branches, is due at 2 pm.

National Economic Council Director Kevin Hassett is the leading candidate to replace Jerome Powell as the next Fed chair, Bloomberg News reported Tuesday, citing sources who weren't identified. Powell's term as Fed chair is set to expire in May.

Dell Technologies (DELL) shares rose 3.5% before the bell as the technology company posted better-than-expected third-quarter earnings. Autodesk (ADSK) spiked 7% on the back of the software market's upbeat quarterly results and strong outlook. Nutanix (NTNX) plunged 16%, Zscaler (ZS) was down 7% and HP (HPQ) fell 4.7% following their latest quarterly results.

Deere (DE) and Li Auto (LI) are among the notable companies posting their latest quarterly results before the opening bell.

Treasury yields were mixed in premarket action, with the two-year rate up 0.2 basis points to 3.46% and the 10-year rate down 0.6 basis points to about 4%. West Texas Intermediate crude oil inched up 0.4% to $58.15 a barrel before the open. The weekly Baker Hughes oil-and-gas rig count posts at 1 pm.

Gold gained 0.7% to $4,206 per troy ounce, while bitcoin slipped 0.2% to $87,049.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.