(Updates with index/price moves, macroeconomic data, and company/geopolitical news from the first paragraph.)
US equity indexes rose as declining government bond yields helped lift investor sentiment amid a move higher in crude oil prices.
The Nasdaq Composite rose 1.3% to 26,554.9, the S&P 500 climbed 1% to 7,741.6, and the Dow Jones Industrial Average advanced 1.1% to 53,666.9. All sectors except healthcare and materials rose. Communication services and consumer discretionary topped the gainers.
Federal Reserve Governor Christopher Waller said he would be "inclined to support" holding rates steady at the next Federal Open Market Committee meeting in September if the August inflation print shows progress toward the central bank's 2% goal.
The probability of the Fed raising its target rate by 25 basis points to 3.75%-4.0% in September slumped to 50% after midday Thursday from 63% a day ago, according to the CME FedWatch tool. The remaining likelihood is that policy will remain on hold.
Treasury yields fell, with the 10-year down 4.4 basis points to 4.75% and the two-year lower by 5.4 basis points to 4.33%.
The US and Iran have intensified tit-for-tat military strikes in recent days, remaining locked between ceasefire and all-out war as the White House struggles to end the six-month conflict, Bloomberg reported. Iran said it attacked bases in Kuwait and the United Arab Emirates "in response to America's crimes against the Iranian people," Al Jazeera, a Middle Eastern broadcaster, reported.
The front-month US West Texas Intermediate crude oil contract added 1.2% to $92.07 per barrel, and global benchmark North Sea Brent climbed 1% to $96.54 per barrel.