4:07pm: New records
US stocks finished Friday’s session at record highs as a cooler-than-expected inflation reading backed expectations that the Fed will cut interest rates at its upcoming meeting.
The Dow Jones closed above 47,000 for the first time, adding 1% or 472 points to close at 47,207 points.
The S&P 500 gained 0.8% at 6,791 points and the Nasdaq was up 1.2% at 23,204 points.
2:05pm: Grindr shares pop
Grindr Inc (NYSE:GRND) shares surged 22.7% in the early afternoon on Friday after the LGBTQ+ dating and social networking app received a formal buyout proposal from its controlling shareholders, potentially taking the company private.
The offer, detailed in a filing with the Securities and Exchange Commission (SEC), comes from chairman James Fu Bin Lu and investor George Raymond Zage III, who together with affiliated entities already hold more than 60% of Grindr’s outstanding shares.
The proposed purchase price of $18 per share represents a roughly 51% premium over Grindr’s October 10 closing price of $11.96.
Following the announcement, shares traded around $15.55.
12:45pm: Consumers fear stagflation risks
Consumers are currently anxious about a potential stagflation scenario, with worries about rising unemployment and persistent high inflation, according to Eric Teal, Chief Investment Officer for Comerica Wealth Management.
"The wealth effect has been powerful for top earners, but lower end consumption is still struggling with higher revolving debt interest and inflated prices," Teal said Friday.
"Lower interest rates and tax incentives are on the horizon, so expect some improvement to sentiment in coming month."
11:45am: Mag 7 earnings preview
Tech stocks are expected to deliver very strong earnings reports for the third quarter led by Big Tech stalwarts Microsoft Corp (NASDAQ:MSFT), Alphabet Inc (NASDAQ:GOOG) and Amazon.com Inc (NASDAQ:AMZN) on robust AI enterprise demand, analysts at Wedbush believe.
Wedbush noted that field checks suggest cloud businesses at these companies experienced significant uptake of AI solutions, contributing to expectations for solid revenue and profit growth.
The firm highlighted that enterprise and government spending on AI technologies is projected to reach $3 trillion over the next three years, creating a broad market tailwind.
The broker expects the earnings reports to confirm continued investment in AI and cloud services, potentially validating projections for further capital expenditure (capex) into 2026.
10:45am: Trump terminates Canada talks
US President Donald Trump announced late on Thursday that he is terminating all trade negotiations with Canada, citing an anti-tariff advertisement produced by Ontario’s provincial government that used audio from former President Ronald Reagan.
The ad, part of a $75 million campaign by Ontario Premier Doug Ford’s administration, features a 1987 radio address in which Reagan warned about the dangers of tariffs and trade wars.
Trump called the spot “FAKE” and “fraudulent,” accusing Canada, though the ad was produced by the province of Ontario, of interfering in US judicial decisions and misrepresenting Reagan’s legacy.
Just two weeks earlier, Canadian Prime Minister Mark Carney had met with Trump at the White House, after which Trump directed senior officials to pursue a new deal.
9:55am: Positive start
US stocks opened higher Friday following a cooler-than-expected inflation report, keeping investors optimistic about a potential interest rate cut from the Federal Reserve next week.
The Dow Jones rose 363 points, or 0.8%, to 47,097, while the S&P 500 added 51 points, also up 0.8%, reaching 6,790. The tech-heavy Nasdaq led the gains, climbing 233 points, or 1%, to 23,175, and the Russell 2000 jumped 1.5% to 2,521.
The September CPI came in softer than expected, with headline inflation rising 3% year-over-year, its highest level since May but below the 3.1% forecast. On a monthly basis, prices increased 0.3%, cooling slightly from August and easing pressure on the Fed. Investors now see a near-certain chance of a quarter-point rate cut at the central bank’s October meeting, with expectations also high for another cut in December.
Adding to the market’s cautious mood, President Trump announced he would cancel trade talks with Canada over an ad criticizing his tariffs plan, introducing fresh uncertainty to US trade negotiations.
Corporate news brightened the day, with Intel Corp (NASDAQ:INTC, ETR:INL) shares jumping nearly 6% in morning trading after the chipmaker reported third-quarter revenue above Wall Street estimates, providing a lift to the semiconductor sector.
Even amid political uncertainty and market volatility, stocks are on track for weekly gains, reflecting continued investor confidence that inflation may be cooling.
9:05am: Inflation eases
US consumer prices rose less than expected in September, offering fresh evidence that inflation pressures continue to moderate.
The Consumer Price Index (CPI) increased 0.3% from the prior month and 3% from a year earlier, below forecasts of 0.4% and 3.1%, respectively.
Core CPI, which excludes food and energy, climbed 0.2% on the month and 3% annually, also undershooting estimates.
Apparel was among the biggest gainers, with prices rising 0.7%, likely reflecting higher import duties.
8:00am: Nasdaq out front
The Nasdaq is expected to lead US markets higher when trading gets underway after Intel reported third-quarter results that beat expectations, and as investors turn their attention to long-delayed consumer inflation data.
Ahead of the open, Nasdaq futures are up 0.5%, with those for the S&P gaining 0.3%, while Dow Jones futures are lagging with a 0.2% gain.
The Nasdaq also led the way on Thursday, climbing 0.9%, powered by a rebound in tech shares. The S&P 500 rose 0.6%, while the Dow added 0.3%.
After the bell, Intel reported Q3 revenue of $13.7 billion, up 3% from the year-ago quarter and ahead of estimates of $13.15 billion. Adjusted earnings per share (EPS) were $0.23, far ahead of the consensus $0.01 and a significant improvement from a loss per share of $0.46 in Q3 last year.
Shares of the designer and manufacturer of computer components were up 7.7% in pre-market trade.
“After a long period of disappointing the market, the chipmaker reported revenue ahead of expectations and posted its first quarterly profit since 2023," commented AJ Bell's Russ Mould. "This helped extend an impressive run for the share price since the spring as investor faith in a turnaround under CEO Lip-Bu Tan solidifies.
Before the market opens, the US Bureau of Labor Statistics will release the September 2025 CPI data despite the ongoing government shutdown. The CPI is expected to register at 3.1%, according to economists polled by FactSet.
Meanwhile, European markets are trading lower this morning. London's FTSE 100 is down 0.1% after closing at a record high on Thursday. Frankfurt's DAX is also 0.1% lower, while the Paris CAC 40 has shed 0.5%.
Asian markets were mostly higher, with Tokyo's Nikkei 225 jumping 1.4%, and Hong Kong's Hang Seng and Shanghai's SSE Composite both closing 0.7% firmer. In Mumbai, the BSE Sensex fell back 0.4%, while Sydney's ASX 200 dropped 0.2%.