04:53 PM EDT, 09/09/2024 (MT Newswires) -- US benchmark equity indexes closed higher Monday as markets parsed a survey of consumers' inflation expectations and awaited official price growth data due later in the week.

The Dow Jones Industrial Average, the S&P 500 and the Nasdaq Composite rose 1.2% each. The Dow closed at 40,829.6, while the S&P 500 reached 5,471.1. The Nasdaq finished the trading session at 16,884.6. Barring communication services -- which was little changed -- all sectors saw gains, led by consumer discretionary and industrials.

In economic news, US consumers' inflation expectations rebounded at the medium-term horizon in August, while the one- and five-year outlooks were flat, the Federal Reserve Bank of New York said. The labor market outlook was "mixed, but largely stable," according to the Fed branch.

Government data are likely to show Wednesday that US consumer inflation rose 0.2% sequentially and 2.6% annually last month, according to a Bloomberg-compiled consensus. The official producer prices report for August is scheduled to be released Thursday.

On Friday, data from the Bureau of Labor Statistics showed the US economy added fewer jobs than projected in August, while the unemployment rate ticked down.

"A weaker-than-expected rise in topline hiring coupled with no further upward momentum in inflation last month seemingly solidifies the Fed's commitment to a first-round rate cut later this month," Stifel said in a Monday note to clients. "However, the lack of meaningful downward momentum in price pressures coupled with a downtick in the unemployment rate and stronger wage gains seemingly removes the necessity of a more aggressive policy response in terms of either a larger rate reduction or more expedited pathway."

The probability of a 25-basis-point interest rate cut next week rose to 71% Monday from 70% Friday, while the odds of a more aggressive 50-basis-point reduction fell to 29% from 30%, according to the CME FedWatch tool.

The US two-year yield increased 2.7 basis points to 3.68% Monday, while the 10-year rate fell one basis point to 3.7%.

In company news, Boeing ( BA ) shares gained 3.4%, the second-best performer on the Dow. The plane maker said Sunday it reached a tentative labor deal with the International Association of Machinists and Aerospace Workers, representing more than 33,000 employees.

Moderna ( MRNA ) said Monday it received Health Canada's Drug Establishment License for its production site in Laval, Quebec. The drugmaker's shares rose 5.1%, among the top gainers on the S&P 500 and the Nasdaq.

Progress Software ( PRGS ) agreed to acquire software-as-a-service document collaboration business ShareFile from Cloud Software Group for $875 million. Progress shares closed 2.5% lower.

West Texas Intermediate crude oil rose 1.5% to $68.66 a barrel Monday.

Gold moved 0.4% higher to $2,534.60 per troy ounce, while silver rose 1.8% to $28.68 per ounce.