By Jeff Sanford
(June 14 – 13:00 ET) – The good news on inflation coming out of the United States this morning has sent the TSE 300 up almost 140 points. Staying just under the 10,000 mark, it hit 9975.6 points shortly after noon, that’s up 1.4%.
The TSE 300 was helped by news that Nortel is buying EPiCON, a software company that extends Nortel’s reach in the application service provider market. Nortel is up $3.
On the broader market advancers outnumber decliners 335 to 216 so far. Volume is stronger, too, at 80.9 million shares. Up volume is edging down volume 2:1.
The good news that inflation is under control was contained in the U.S. CPI report released this morning. It came in at 0.1% for the overall rate and 0.2% for the core rate.
But while the inflation outlook is neutral, more evidence came in that the U.S. economy may finally be cooling. The Commerce Department reported that business inventories are up 0.4%. The news reinforced opinions that the Fed won’t raise interest rates in June, which kept short-term bonds neutral.
In New York, the Dow Jones industrial average is up 91.67 points to 10713.41. The NASDAQ is down 6.23 points to 3844.83 points to on skittish trading. The S&P 500 is up 8.06 points to 1477.50.
NASDAQ heavy weight Microsoft is up 3.59% this morning on news that the U.S. Circuit Court will here Microsoft’s appeal of the decision to order the software giant split in two.