01:25 PM EST, 11/13/2024 (MT Newswires) -- US equity indexes rose in midday trading Wednesday while most Treasury yields fell after bets favoring an interest-rate cut in December surged following the release of October's inflation data.

The S&P 500 climbed 0.3% to 6,004.5, the Dow Jones Industrial Average rose 0.4% to 44,069.4, and the Nasdaq Composite advanced 0.2% to 19,327.1. Consumer discretionary and real estate led the top gainers intraday while the utilities sector was among the trio of decliners.

In economic news, the US seasonally adjusted consumer price index rose by 0.2% in October, as expected in a survey compiled by Bloomberg, and following a 0.2% increase in September, the Bureau of Labor Statistics said Wednesday. Core CPI, which excludes food and energy prices, rose by 0.3%, as expected. Core CPI also rose by 0.3% in September.

The year-over-year rate for overall CPI accelerated to 2.6% from 2.4%, while the rate for core CPI remained at 3.3%.

The CME FedWatch tool showed that the probability of a 25 basis-point rate cut in December was 82% as of Wednesday afternoon, up from 59% a day ago. The Fed reduced its target rate by 50 basis points in September and then by 25 basis points in November to the 4.5% to 4.75% range, extending its easing cycle, albeit at a slower pace.

The Federal Open Market Committee will need to continue reducing the target range for the federal funds rate; however, the extent and timing of the cuts remain uncertain, Dallas Federal Reserve Bank President Lorie Logan said Wednesday at a joint conference hosted by the Dallas and Kansas City Fed banks.

"If we cut too far, past neutral, inflation could reaccelerate and the FOMC could need to reverse direction," Logan said. "In these uncertain but potentially very shallow waters, I believe it's best to proceed with caution."

Most US Treasury yields retreated, with the two-year slumping 6.3 basis points to 4.30% while the 10-year was up 1.6 basis points to 4.45%.

West Texas Intermediate crude oil rose 0.7% to $68.58 a barrel.

In company news, Super Micro Computer ( SMCI ) dropped 3.3% intraday, among the worst performers on the S&P 500 and the Nasdaq, after the company flagged a delay in filing its quarterly report for the period ending Sept. 30 because it needs more time to complete financial statements and disclosures.

Berenberg adjusted its price target on Albemarle (ALB) to $102 from $81 while maintaining its hold rating. Shares of the company jumped 6.4%, the top gainer on the S&P 500.

Gold dropped 0.8% to $2,586.41 an ounce, and silver fell 0.4% to $30.64 an ounce.