01:26 PM EDT, 07/12/2024 (MT Newswires) -- US equity indexes rose Friday as investors weighed a higher-than-expected producer price inflation print for June, a surprise decline in a consumer sentiment gauge for July and mega-cap banks' quarterly results.

The Nasdaq climbed 1% to 18,465.9, with the S&P 500 and the Dow Jones Industrial Average up 0.9% to 5,634.5 and 40,097.3, respectively. All sectors but one -- communication services -- rose intraday, with technology and consumer discretionary among the biggest gainers.

The probability that the Federal Open Market Committee will cut interest rates by 25 basis points in September soared to 88% by Friday afternoon from 72% a week earlier, despite June wholesale price inflation data. The US Dollar index fell 0.3% to 104.11.

In economic news, the US Producer Price Index rose 0.2% in June following a revised steady reading in May, above the 0.1% gain expected in a survey compiled by Bloomberg. After excluding food and energy prices, core PPI rose 0.4%, above the 0.2% gain expected and following a 0.3% increase in the previous month. PPI was up 2.6% year over year in June, while core PPI increased by 3% year over year, above the respective 2.4% and 2.6% May rates.

"Parsing through the volatility of the details, the majority of the rise appears to be concentrated in margin adjustment last month," Stifel Chief Economist Lindsey Piegza said in a note. "Nearly all the June increase is attributable to a 1.9% jump in margins for final demand trade services," Piegza said, citing the Bureau of Labor Statistics.

The US 10-year Treasury yield was steady at 4.19%, while the two-year rate fell 3.7 basis points to 4.47%.

Meanwhile, the University of Michigan's preliminary consumer sentiment index declined to 66 in July from 68.2 in June, compared with expectations for an increase to 68.5 in a survey compiled by Bloomberg. Respondents saw both one- and five-year inflation expectations at 2.9%, down from 3% in June.

In company news, Wells Fargo's ( WFC ) Q2 financial results rose above market expectations, but the lender's net interest income declined annually and was short of analysts' estimates. Shares slumped nearly 6% intraday, the worst performer on the S&P 500.

Citigroup ( C ) reported higher Q2 earnings and net revenue, but shares fell almost 2% intraday, among the steepest decliners on the S&P 500. JPMorgan Chase ( JPM ) also reported higher Q2 earnings and net revenue, but its shares slipped 0.6%, also among the laggards on the Dow Industrial.

West Texas Intermediate crude oil was up less than 0.1% to $82.64 a barrel.

Gold slipped less than 0.1% to $2,421.11 an ounce and silver dropped 1.4% to $31.22.