Retailers and other consumer companies climbed led by consumer discretionary shares amid more signs that inflation may be easing.

U.S. supplier price increases slowed in October for the second straight month. The producer-price index, which generally reflects supply conditions in the economy, climbed 8% in October compared with the same month a year ago, the Labor Department said.

Though prices continued to rise rapidly, the pace marked an easing from September's revised 8.4% increase, and was down sharply from the 11.7% increase in March, the highest since records began in 2010.

In corporate news, Walmart said that sales rose during the most recent quarter, a sign that its reputation for low prices has paid off as more shoppers look for deals amid high inflation.

Comparable U.S. sales, those from stores and digital channels operating over the past 12 months, rose 8.2% through Oct. 28 from a year earlier. The retailer also raised its sales outlook and said earnings on an adjusted basis would decline by a smaller margin than it previously expected.

Separately, Walmart agreed to pay $3.1 billion to settle opioid-crisis lawsuits brought by several U.S. states and municipalities, adding to a landmark settlement with pharmacy chains. Home Depot's sales rose 5.6% in the third quarter as higher prices again offset a slowdown in transactions. The home-improvement chain said that customers spent an average of 8.8% more per transaction during the quarter while the number of transactions fell 4.3%. Krispy Kreme reported third-quarter sales that were better than expected, but its adjusted earnings per share fell short. In deal news, Estée Lauder Cos. is nearing a deal to buy Tom Ford for roughly $2.8 billion, building on a longstanding licensing deal and marking the cosmetics giant's largest-ever acquisition, according to people familiar with the matter.


Write to Amy Pessetto at amy.pessetto@dowjones.com

(END) Dow Jones Newswires

11-15-22 1709ET