Stocks tick toward records as oil prices drop and inflation gets less bad

U.S. stocks edged toward record levels on Thursday as inflation appeared to be cooling and oil prices eased. The S&P 500 rose 0.4% and was near its prior record set last week. The Dow gained 133 points, or 0.2%, while the Nasdaq composite was up 0.4%. The market response followed a report showing U.S. wholesale prices rose 4.7% in the latest month versus a year earlier—below June’s 5.5% and slightly better than economists expected. Traders reduced the odds of a September Fed hike to about 32% from roughly 50% earlier, based on CME Group data, helping push Treasury yields lower; the 10-year yield fell to 4.64% from 4.72% on Monday. Oil moved down too: Brent fell 2.5% to $86.75 a barrel. United Airlines rose 1.4% and Carnival gained 2%. Cisco slipped 9.4% despite beating profit and revenue estimates, with investors focused on margin outlook.