Stocks Rise on Fed's Inflation Message, Rate Hike Odds Soar

The stock market is edging higher on August 28, as investors digest policy signals from the Jackson Hole symposium. The S&P 500 has gained 0.20% to 7,747, while the Dow Jones Industrial Average climbed 0.17% to 53,658. Communication services stocks are leading sector gains.

However, industrials and healthcare stocks are trading lower. Gold prices have slipped 1.63% to $4,535.27, and the 10-Year Treasury yield is up 0.04% to 4.70%. Elastic's quarterly earnings release has sent its stock soaring more than 18%, echoing yesterday's surge by Salesforce.

Marvell Technology sank more than 9%, despite beating analyst expectations, while Rubrik was down 11% at midday. Federal Reserve Chairman Kevin Warsh stressed his commitment to reducing inflation in a much-anticipated Jackson Hole debut, giving traders some reassurance that he would act if inflation remains sticky.

Economists now think there's an almost 60% chance of a rate hike in September.