The US stock market rebounded slightly in early trading, with improving economic data boosting hopes for a Federal Reserve interest rate cut.

The US stock market rose in early trading on Friday, and Wall Street is expected to end another volatile week as signs of a sluggish US economy boost hopes of a Fed rate cut. Traders are also digesting the latest news from the Middle East conflict. By 10:02 New York time, the S&P 500 index was up 0.7%, rebounding after three consecutive days of decline. The Nasdaq 100 index rose by 0.8% and the Dow rose by 0.7%. The Bloomberg Seven Giants index remained mostly flat, hovering near its retracement level. Brent crude oil fell by 1.4% to $99.02 per barrel. With concerns about the potential impact of the Iran war on gasoline prices intensifying in recent weeks, the US consumer confidence index has fallen to a three-month low. Meanwhile, the fourth quarter GDP annualized growth was 0.7%, lower than the preliminary estimate of 1.4% due to the record government shutdown. Other data showed an increase in job vacancies and a decrease in layoffs in January, indicating an improvement in labor demand before new signs of weakness appear in the labor market. Consumer spending in January was almost flat, while the inflation indicator the Fed focuses on - the Core Personal Consumption Expenditure Price Index - met expectations.