Markets Rally on Debt-Ceiling Deal Optimism and Inflation Data Awaited.

Stocks rose with all three major indexes up at least 1% as a potential debt-ceiling deal starts to take shape. The Federal Reserve's preferred inflation gauge, the core personal-consumption expenditures price index, rose 0.4% in April from March, while consumer spending climbed 0.8%. The Dow Jones Industrial Average was set to end the week lower, while the Nasdaq Composite and S&P 500 were on track for gains. All but one of the S&P 500's 11 sectors were higher, with utilities selling off and consumer discretionary stocks up about 1.8%.