(Updates with index/price moves, macroeconomic data and geopolitical news from the first paragraph.)

US equity indexes rose amid a broad-based rally led by communication services and technology, after August's consumer price inflation data sparked a rise in short-term government bond yields and crude oil slumped.

The Nasdaq Composite jumped 1.2% to 26,399.2, the S&P 500 climbed 1.1% to 7,673.3, and the Dow Jones Industrial Average advanced 1.1% to 52,605.7 after midday Friday.

The consumer price index rose 0.4% month on month, the fastest pace since May and above July's 0.1% gain, the Bureau of Labor Statistics data showed Friday. The move matched the Bloomberg-polled consensus. Core inflation, which excludes the more volatile food and energy components, jumped to a four-month high of 0.3%, exceeding market projections for an unchanged 0.2% growth.

On an annual basis, headline inflation held steady at 3.4%, as expected. The annual core measure eased to 2.4% from 2.5%, also in line with projections.

Most US Treasury yields rose in midday trading. The two-year jumped 6.3 basis points to 4.61%, the highest since mid-2024. The 10-year yield was steady at 4.94%, the strongest level since October 2023.

The front-month US West Texas Intermediate crude oil contract slumped 3.2% to $99.18 per barrel, and global benchmark North Sea Brent dropped 3% to $104.40 per barrel.