US OPEN: Wall Street slightly higher despite weak PPI data

• US indices launched today's cash trading in mixed moods
• PPI above expectations
• Intel (INTC.US) plans mass lay-offs

Major Wall Street indices launched today's session around the  flat line as fresh PPI figures reinforced the narrative that FED will keep raising interest  to cool an overheated economy. The producer price index, which gauges the prices received for final demand products, rose 0.4% MoM in September, while markets expected a modest 0.2% gain. Elsewhere, US mortgage rates jumped to a fresh 16-year high of 6.81%, while MBA mortgage applications fell 2%, which indicates the worsening situation of the US  housing market.  In the evening markets attention will focus on FOMC minutes as traders will look for additional clues regarding the central bank rate path.  

US30 erased some of the early gains as buyers failed to break above the local resistance at 29757 pts. As long as the index sits below, the downward move may deepen towards recent lows at 28660 pts, which is marked with lower limit of the local 1:1 structure. Source: xStation5

Company news:

• Intel (INTC.US) stock rose nearly 1% as chip maker is preparing to cut thousands of jobs due to weakening PC market, according to Bloomberg. Intel had 113,700 employees as of July and lay-offs may reach 20.0% in some departments.

Intel (INTC.US) stock fell over 60.0% from its 2020 high at $69.45 and is currently testing key support at $25.00, which coincides with 78.6% Fibonacci retracement of the upward move launched in 2008. Should  break lower occur, the next target for sellers is located around 2012 lows at $19.00. Source: xStation5

• PepsiCo (PEP.US) stock rose over 2.85% in premarket after the snack and beverage maker reported upbeat quarterly results as it was able to successfully raise prices on its products. Company also lifted the financial outlook for the year. 
• Lyft (LYFT.US) stock jumped over 4.0% before the opening bell after Gordon Haskett upgraded the ride-hailing company to buy from hold due to attractive valuation. Also improving driver supply and other factors should boost company results. The stock plunged on Tuesday after the Labor Department issued a new proposal that may classify drivers as employees rather than contractors.
• Norwegian Cruise Line (NCLH.US) shares rose 3.5% in premarket trading after UBS upgraded the cruise line operator to buy from neutral citing rising number of new bookings.