Stocks are showing modest gains in mid-day trading on Wednesday, but extreme volatility remains, as markets wait to see if there will be a successful resolution of the debt crisis in Europe.
Stocks suffered a sudden late-morning decline as initial headlines about a parliamentary action in Austria revitalized worries about Europe. Once traders were able to fully digest the news - which had an Austrian parliamentary committee rejecting some minor matters surrounding a vote on the European Financial Stability Facility - the market quickly recovered.
The Dow Jones Industrial Average is up 41 points, or 0.4 percent. The S&P 500 is 5 points, or 0.4 percent. The Nasdaq, bolstered by some strong performances in technology, is outpacing its peers, rising by 19 points, or 0.7 percent.
The general tone about Europe has been positive through most of the session so far, with signs that leaders are working towards a solution. U.S. stocks are attempting to score their third consecutive day of advances. In each of the last two days, stocks have shown weakness or lackluster trading through much of the day, only to secure gains with a late rally.
Dell (DELL) is among the notable gainers in the tech space, rising by more than 2 percent. The PC maker announced that it will expand its share repurchase plan by $5 billion.
Economic news was in focus earlier in the day, though traders have shrugged off disappointing retail sales data to focus on the headlines out of Europe.
The U.S. Commerce Department revealed that August sales figures came in at $389.5 billion, virtually unchanged from the June figure. Economists had expected an advance of 0.2 percent.
Meanwhile, a separate report showed that inflation is still under control, good news for those hoping the Fed might be able to step in with some additional stimulus.
The U.S. Labor Department revealed Wednesday that producer prices were unchanged in August. This followed a 0.2 percent advance in the previous month.
Economists had expected a mild decline.
Core prices, which exclude the volatile food and energy sectors, saw an advance for August of just 0.1 percent. This was the lowest reading since May and a notable slowdown compared to July's gain of 0.4 percent.
Core producer prices were expected to rise by 0.2 percent.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.