US stock market: Wall Street ends higher on economic data; Arm soars in debut
data eased worries about a recession without raising fears of a Federal Reserve rate hike next week, while Arm Holdings soared in its stock market debut.
SoftBank's Arm was valued at nearly $60 billion in a strong Nasdaq debut, with the chip designer's shares soaring nearly 25% in their first day of trading.
Retail sales rose more than expected in August on higher gasoline prices, while initial claims for state unemployment benefits climbed to a seasonally adjusted 220,000 for the week ended Sept. 9 from 217,000 the week before.
Monthly producer prices for final demand rose 0.7% last month, against expectations of a 0.4% increase.
On an annual basis, they increased 1.6% compared with estimates of a 1.2% rise.
«Today's economic data confirms the path toward a soft landing, but without being so hot that the Fed thinks they might need to do a couple more rate hikes,» said Ross Mayfield, Investment Strategy Analyst at Baird. «All together, it's pretty bullish.»
Chip designer Arm's American Depositary Shares opened at $56.1 apiece compared with the initial public offering price of $51, in a sign of confidence for other companies planning to list their shares.
«The game is back on.
Capital markets are open for business,» said Thomas Hayes, chairman at Great Hill Capital LLC. «You're going to see so many IPOs in the next 12 weeks your head is going to spin.»
Traders see a 97% chance of the Federal Reserve holding rates steady in its Sept.
