Wall Street Rises as Producer Prices Show Inflation Cooling; Starbucks Soars with New CEO

Wall Street prepared for a higher opening on the back of lower-than-expected U.S. producer prices for July. Key movers included Starbucks, which gained after appointing Brian Niccol as CEO, and Home Depot, which fell after cutting its annual targets. Investors now anticipate the upcoming consumer price index and retail sales data to guide future Federal Reserve rate cuts.

Wall Street was poised for a higher opening on Tuesday following data that showed U.S. producer prices rose less than expected in July, reflecting moderating inflation pressures. The data bolstered expectations that the Federal Reserve might cut interest rates in September.

Starbucks surged in premarket trading, climbing 9.8% after announcing Chipotle's Brian Niccol as its new CEO. Meanwhile, Home Depot saw a smaller decline than initially feared, down just 0.3%, after cutting its full-year sales and profit forecasts.

Markets are now focused on upcoming consumer price index and retail sales data, crucial indicators that could influence the Federal Reserve's rate decisions. The yield on U.S. Treasury notes dipped lower, reflecting increased bets on rate cuts.