US stocks gain after benign inflation data, oil prices retreat

On August 13, Wall Street stocks surged as investors welcomed evidence of easing US inflation and a retreat in oil prices. The Producer Price Index remained flat month-over-month, but it increased 4.7% year-over-year, down from a 5.5% rise in June. This data suggested that Federal Reserve officials may not need to raise interest rates quickly, potentially delaying a September hike, according to economist Stephen Brown from Capital Economics.

While all three major US indices ended higher, the S&P 500 closed at a record high of 7,798.99, marking its highest level. However, market experts cautioned against overreacting to the recent market movements, noting that trading volumes were lighter than usual. In South Korea, the Kospi index rose 3.6% after chipmakers SK Hynix and Samsung saw a rebound in investor interest.

Meanwhile, London's stock market suffered as heavyweights in the mining sector experienced declines following Antofagasta's downgraded production outlook. Oil prices dropped as geopolitical tensions surrounding Gulf shipments from the Strait of Hormuz persisted, with both US President Donald Trump and Iran claiming control of the vital waterway.

Some companies' stocks saw significant fluctuations, with Cisco falling 8.4% despite reporting growth driven by artificial intelligence. Netflix, on the other hand, increased by 5.4% following Bill Ackman's Pershing Square hedge fund's stake purchase.