Stocks Opened Up on China Data

U.S. stocks opened higher on Friday, after U.S. and Chinese economic data failed to dent hopes of further stimulus. The Dow Jones Industrial Average lately rose 100.36 points to 12,673.63. The S&P 500 index climbed 11.31 points to 1,346.07. The Nasdaq Composite rose 17.20 points to 2,883.39.

China’s growth rate slowed for a sixth successive quarter to its slackest pace in more than three years, highlighting the need for more policy vigilance from Beijing even as signs emerge that action taken so far is beginning to stabilize the economy. Year-on-year growth of 7.6 percent in the second quarter was a whisker above the government’s official 7.5 percent full year target and dragged the first half average down to 7.8 percent – below the 8 percent level that in previous downturns has triggered a robust response from policymakers.

Producer prices rose only slightly in June as energy costs dropped, suggesting inflation pressures remain muted and leaving the door open for more easing by the Federal Reserve. The Labor Department said on Friday its seasonally adjusted producer price index rose 0.1 percent last month.

JPMorgan Chase & Co, the biggest U.S. bank, posted $4.4 billion of losses from its “London Whale” trades, but also said some of its traders might have tried to conceal bad credit bets in the first quarter.

Wells Fargo & Co (WFC) reported a 17 percent increase in second-quarter profit on strong mortgage banking income and improved credit quality. The nation’s fourth-biggest bank on Friday said net income was $4.6 billion, or 82 cents a share, compared with $3.9 billion, or 70 cents a share, a year earlier.

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