Stock market rebounds on easing inflation and strong earnings

U.S. stock markets are trading higher today after the latest inflation report showed U.S. consumer prices rose less than expected in November. The Consumer Price Index increased 2.7% yoy, below the 3.1% analysts consensus and down from prior readings, signaling that price pressures may be easing. The softer data helped revive expectations that the Federal Reserve will remain accommodative, enforcing the idea about more rate-cut.

Combined with strong earnings from key technology names, this has boosted risk appetite and pushed volatility lower. Micron reported strong results, with revenue at $13.64B vs. $12.8B expected and EPS at $4.78 vs. ~$3.95 forecast, supporting technology stocks and improving broader market sentiment.

Dow Jones Industrial Average (INDU)

DJIA opened higher today and traded with high volatility throughout the session. However, the index is now hovering not far from the opening level, suggesting a lack of follow-through momentum. The index is currently trading near the 48,000 level and may continue to consolidate around this level. If bearish continuation develops, then a deeper pullback toward the 47,000 level and the rising trend line could happen. Overall, the broader bullish structure remains intact, and the current pullback considered healthy.

SLB Limited (SLB)

SLB is undergoing a bearish correction and is approaching a confluence support area between $37.00–$38.50. This zone may attract buying interest, and traders could consider accumulating long positions near the area. A daily close below $37.00 or a break below the trend line would signal further downside toward the daily SMA 200. On the upside, a clear bounce from the support area would confirm bullish continuation to target a new higher swing high.