Stock markets rise as investors shrug off inflation worries – business live

All the day’s economic and financial news, as shares recover from last week’s routLatest: US producer prices riseLunchtime: European markets in the greenPound at two-week high, but would Rees-Mogg weaken it?Markets in cheerier mood againZuma’s resignation boosts South African stocks 1.55pm GMT Here’s Brian Wesbury, chief economist at First Trust Portfolio, on the jump in US producer prices:Producer prices up 0.4% in January, overall and core. The Fed is behind the curve and as long as excess reserves exist, inflation is a threat. It’s a double edge sword, though. Increased velocity drives inflation and real growth higher. Faster growth is good for stocks.No relief from inflation pressures in the latest gauge of the nation’s wholesale prices. Both headline and core (minus food/energy) UP 0.4%. 1.44pm GMT Boom! US factories hiked their prices again last month, putting fresh pressure on America’s central bankers to raise borrowing costs.The producer prices index rose by 0.4% during January, new figures from the Labor Department show. On an annual basis, the PPI jumped by 2.7% – up from 2.6% in December.Producer Prices Rise More Than Expected In January, Markets Shrug- https://t.co/o76VIAnMJg pic.twitter.com/qPFXw7TKzeUS Opening Calls:#DOW 25061 +0.65%#SPX 2709 +0.36%#NASDAQ 6720 +0.65%#IGOpeningCall Continue reading…
Via: Stock markets rise as investors shrug off inflation worries – business live