02:33 PM EDT, 08/13/2025 (MT Newswires) -- US benchmark equity indexes were mostly higher intraday as markets fully priced in a Federal Reserve interest rate reduction in September.

The Dow Jones Industrial Average was up 0.7% at 44,765.7 after midday Wednesday, while the S&P 500 rose 0.1% to 6,450. The Nasdaq Composite was little changed at 21,674.9. On Tuesday, the S&P 500 and the technology-heavy Nasdaq closed at fresh record-high levels.

Among sectors, health care paced the gainers intraday Wednesday, while consumer staples, utilities and technology saw the biggest drops.

The probability of a quarter-percentage-point rate cut next month rose to almost 100% Wednesday from 94% Tuesday, according to the CME FedWatch tool. Rate-reduction bets rose following the release of the official consumer prices report, which showed on Tuesday that inflation slowed down in July on a sequential basis.

Treasury Secretary Scott Bessent said Wednesday "we could go into a series of rate cuts," beginning with a 50-basis-point reduction next month, Bloomberg News reported. He said interest rates in the country should "probably be 150, 175 basis points lower."

The official US producer prices report for last month is scheduled to be released Thursday.

US President Donald Trump, who has repeatedly called on the Fed to cut rates and criticized the central bank's chair, Jerome Powell, said Wednesday that the list of potential candidates to replace Powell is "down to three or four names," Yahoo Finance reported. A report previously suggested that the Trump administration was contemplating a pool of up to 11 Fed chair candidates.

US Treasury yields were lower intraday, with the 10-year rate decreasing 5.5 basis points to 4.24% and the two-year rate losing 4.4 basis point to 3.69%.

West Texas Intermediate crude oil fell 0.9% to $62.62 a barrel.

The International Energy Agency reduced its projections for global oil demand growth for 2025 and 2026, while raising its supply forecasts for both years on the back of the latest output hike by a key producing cartel.

"The latest data show lackluster demand across the major economies and, with consumer confidence still depressed, a sharp rebound appears remote," the agency said. "Oil market balances look ever more bloated as forecast supply far eclipses demand towards year-end and in 2026."

On Tuesday, the Organization of the Petroleum Exporting Countries raised its global oil demand projection for 2026 and upgraded its world and US economic growth forecasts for this year.

Mortgage applications in the US ramped up last week as lower 30-year rates on conforming loans spurred refinancing activity to the strongest week since April, the Mortgage Bankers Association said Wednesday.

In company news, Paramount Skydance ( PSKY ) shares surged nearly 35%, the top gainer on the S&P 500. Morgan Stanley and Guggenheim recently initiated coverage of the stock.

Paramount will become the exclusive distributor of UFC's fighting events in the US under a $7.7 billion media rights deal with TKO Group ( TKO ) , the companies said earlier in the week.

Gildan Activewear ( GIL ) on Wednesday agreed to acquire clothing company HanesBrands ( HBI ) in a cash-and-stock deal worth about $2.2 billion in equity. Gildan shares were up 11%, while Hanesbrands ( HBI ) rose 4.1%.

Madison Square Garden Entertainment ( MSGE ) swung to a fiscal fourth-quarter loss amid a slump in event-related revenue, sending its shares tumbling 11% intraday.

Gold was up 0.2% at $3,404.60 per troy ounce, while silver rose 1.4% to $38.55 per ounce.