Wall Street rises; PayPal jumps on takeover bid report
- By Reuters -
- Jul 15, 2026
Wall Street’s main indexes edged higher on Wednesday, as softer-than-expected producer inflation data and a flurry of corporate earnings supported sentiment, while PayPal surged on news of a $53 billion takeover offer.
Strong results from major banks for a second straight day helped sustain an upbeat tone for the second-quarter earnings season. The S&P 500 financial sector gained 0.6%.
BlackRock shares advanced 7.1%, after the asset manager beat profit expectations, while Morgan Stanley also beat Wall Street estimates for second-quarter profit. Its shares were up 0.6%.
“The large banks continue to demonstrate the strength of the U.S. consumer and corporate balance sheets. Healthy banks are typically a positive signal for the broader economy,” said Charlie Anderson, senior vice president, UBS Wealth Management.
PayPal jumped nearly 14% after sources told Reuters payments company Stripe and private equity firm Advent International have jointly offered to acquire it for $60.50 per share — representing around a 28% premium to its Tuesday close.
On the benchmark S&P 500, nine of the 11 sectors were in the green, with consumer discretionary leading gains.
The earnings season is gathering pace at a crucial point for equities. The S&P 500 has climbed more than 10% this year and is within striking distance of its June record close, leaving the rally vulnerable to any disappointment in corporate results.
PRODUCER PRICES COME IN COOLER
Data on Wednesday showed the Producer Price Index for final demand unexpectedly fell 0.3% in June, compared with forecasts for a flat reading, adding to signs that inflation was easing before the recent escalation in the Middle East conflict. The report followed Tuesday’s softer-than-expected consumer inflation data, which tempered expectations for an imminent Federal Reserve rate hike.
“With the Fed offering limited forward guidance, each inflation reading is prompting more volatility in rate expectations,” said Charlie Ripley, portfolio manager at Allianz Investment Management.
Traders now see about a 12% chance of a quarter-point rate increase at the Fed’s next meeting, down from nearly 41% before the CPI report, according to CME’s FedWatch tool.
Wednesday marks the second day of Federal Reserve Chair Kevin Warsh’s testimony before Congress. Warsh told lawmakers on Tuesday that one data point was not enough to declare victory over inflation.
At 9:55 a.m. ET, the Dow Jones Industrial Average rose 190.64 points, or 0.36%, to 52,698.91, the S&P 500 gained 23.82 points, or 0.30%, to 7,566.51 and the Nasdaq Composite gained 113.40 points, or 0.43%, to 26,220.41.
Geopolitical tensions also remained in focus following the United States beginning a new wave of strikes against Iran after reimposing a naval blockade of its ports.