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Multiple people shot along highway in US state of Kentucky
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In Papua New Guinea, Pope holds mass 'at the edge of the world'
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Hewett stays positive for wheelchair tennis despite agonising defeat
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Three things on US Open champion Aryna Sabalenka
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Sabalenka downs Pegula to win US Open thriller
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USA slump to first home defeat against Canada in 67 years
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Argentina hand Australia record 67-27 loss in Rugby Championship
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England impress on Carsley bow, Germany, Dutch hit five
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AFP photographer wins top prize for Gaza coverage
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No Love for Packers for three weeks after ligament sprain: reports
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Pedro Almodovar: chronicler of modern Spain crowned in Venice
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Trump sounds dark tone at rally, Harris 'ready' for debate
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Wirtz and Musiala dazzle to kick-start new Germany era
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Chinese teenager takes 7th gold of Paris Paralympics
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England interim boss Carsley 'respects' divided opinions over anthem
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Neuville moves to the front in the Acropolis Rally
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Garfield, Pugh charm Toronto in new romance 'We Live in Time'
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21 boys confirmed dead in Kenya school inferno
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Over 100,000 protest in France against new prime minister
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Golden 30 minutes takes China to swimming Paralympics swimming domination
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Green leads Australia to T20 series sweep of Scotland
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Nigeria, Cameroon win afer chaotic AFCON build-ups
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Nicole Kidman: A-lister, cinematic chameleon, wins in Venice
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'I had to prove myself', says Kolisi after win against All Blacks
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Almodovar wins top prize at Venice film festival
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Grealish savours England redemption after 'worst summer'
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Carsley makes flying start as England interim boss in win over Ireland
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Springboks close on Rugby Championship with storming win over All Blacks
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Sri Lanka's De Silva and Kamindu Mendis defy England in third Test
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Farrell's Racing lose on opening day of Top 14
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Dunbar takes second Vuelta stage as Roglic closes in on victory
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Fritz eyes US Open glory to end 21 years of American hurt
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Thousands protest in France against new prime minister
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Trump to hold rally in swing state, Harris preps for debate
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Stone at the double as Sri Lanka collapse against England in third Test
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French tennis player takes legal action over online abuse
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Italy backs Kyiv's 'legitimate defence' as Zelensky presses allies
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The Body Shop rescued from administration after deal
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Smoke and screams: The horror of Kenya's school dorm inferno
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MotoGP leader Martin roars to victory in San Marino sprint
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Ireland and UK to 'reset' relations as Starmer begins Dublin visit
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Ma Lin turns brutal encounter with bear into glorious Paralympic career
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Flintoff appointed England Lions head coach
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Sri Lanka hit back as Pope falls during England collapse in second Test
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Kyiv hits Russian ammo depot as Moscow advances in east
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Italy PM states 'determined' support as Zelensky presses allies
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Bagnaia claims pole for San Marino MotoGP with lap record
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Meet the Woodhalls: Track and field couple light up Paralympics and Olympics
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Gaza war in its 12th month with truce hopes slim
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Boeing's beleaguered Starliner returns home without astronauts
Stocks rise as inflation data boosts rate cut hopes
Major stock markets pushed higher Friday as traders welcomed data showing US inflation is slowing, firming expectations for the Federal Reserve to start cutting interest rates in September.
Wall Street's three main indices were solidly higher at the end of a volatile week during which tech stocks and other sectors were rocked by disappointing earnings.
The Fed's preferred measure of US inflation -- the personal consumption expenditures (PCE) price index -- fell to 2.5 percent on an annual basis in June, from 2.6 percent in May.
"This provides clear support for the Fed to start cutting interest rates in September," said Kathy Bostjancic, chief economist for Nationwide, adding that the move could lead to "a desired soft-landing for the economy, though risks of a harder landing remain."
The core PCE price index that excludes volatile food and energy prices held steady at 2.6 percent.
The Fed has signalled that it wants to see inflation trending lower to its 2.0 percent target before cutting interest rates.
"To get a rate cut, investors and the Fed only needed to avoid a disastrously high PCE result today," said Bret Kenwell, US investment analyst at eToro online brokerage.
Attention will shift to Fed Chair Jerome Powell's comments after the central bank's meeting next week, "with the hope and expectation that he will set the stage for a rate cut in September", he added.
Briefing.com analyst Patrick O'Hare noted the market was now fully pricing in a 0.25-percentage-point cut in the Fed's policy rate.
The inflation data follows figures Thursday that showed the US economy expanded far more than expected in the second quarter, providing a much-needed boost to sentiment and eased concerns that it was slowing a little too much for comfort.
The improvement was largely consumer-led, even while US interest rates remain at two-decade highs and inflation is elevated.
European indices closed higher, while most leading Asian indices registered gains.
The Taipei stock market plunged more than three percent as traders returned from their imposed typhoon break, with chip makers leading the losses.
Market titan TSMC dived more than five percent, while ASE Technology plunged almost 10 percent.
Elsewhere Friday, the dollar fell against main rivals and oil prices fell more than two percent.
- Key figures around 1530 GMT -
New York - Dow: UP 1.6 percent at 40,554.58 points
New York - S&P 500: UP 1.0 percent at 5,450.50
New York - Nasdaq Composite: UP 0.7 percent at 17,302.51
London - FTSE 100: UP 1.2 percent at 8,285.71 (close)
Paris - CAC 40: UP 1.2 percent at 7,517.68 (close)
Frankfurt - DAX: UP 0.7 percent at 18,417.55 (close)
EURO STOXX 50: UP 1.1 percent at 4,862.50 (close)
Tokyo - Nikkei 225: DOWN 0.5 percent at 37,667.41 (close)
Hong Kong - Hang Seng Index: UP 0.1 percent at 17,021.31 (close)
Shanghai - Composite: UP 0.1 percent at 2,890.90 (close)
Euro/dollar: UP at $1.0856 from $1.0848 on Thursday
Pound/dollar: UP at $1.2857 from $1.2853
Dollar/yen: DOWN at 153.72 yen from 153.84 yen
Euro/pound: UP at 84.43 pence at 84.38 pence
West Texas Intermediate: DOWN 2.1 percent at $76.64 per barrel
Brent North Sea Crude: DOWN 2.1 percent at $80.66 per barrel
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X.Brito--PC