DJIA up 0.38% (Il Sole 24 Ore Radiocor) - New York, 13 Aug - US shares opened higher after inflation data came in cooler than expected paving the way for an interest rate cut in September.

Producer prices rose just 0.1% in July from the previous month, below a consensus forecast for a 0.2% increase as cheaper services offset a rise in the price of goods. The index also showed annual wholesale inflation rising 2.2% compared to the previous month's 2.7% and a consensus of 2.3%.

Investors will now turn to consumer price data due out tomorrow and retail sales later in the week which on this occasion take on more importance given growing concerns over economic growth.

The Federal Reserve is hoping the US economy will slow enough to be able to tame high inflation while not slowing too rapidly economic growth and running the risk of triggering a possible recession.

On the stocks front, Home Depot shares were higher in early trade even as the home improvement retailer said its sales would grow less than forecast in the second half of the year.

Retail giant Walmart is set to present its earnings tomorrow.

Starbucks shares surged more than 20% after the US coffeehouse chain said that Brian Niccol has been appointed chairman and chief executive officer.

Just after the opening bell the Dow Jones was up 148.77 points, or 0.38%, at 39,505.78, the S&P 500 was up 34.41 points, or 0.64%, at 5,378.80 while the Nasdaq was up 168.05 points, or 1.00%, at 16,948.66.

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(RADIOCOR) 13-08-24 15:42:45 (0389) 5 NNNN