U.S. stock indexes rose on Friday after data showed consumer prices rose largely in line with estimates last month, taking some pressure off investors concerned about the Federal Reserve's aggressive tightening of its monetary policy.

The Labor Department's report showed U.S. consumer prices accelerated 6.8% in the 12 months through November, their highest level since 1982, as the cost of goods and services rose broadly amid supply constraints. Economists had expected the CPI, consumer price index, to rise 6.7% in November, year-over-year.

The so-called core CPI jumped 4.9% on a year-on-year basis after gaining 4.6% in October. Economists polled by Reuters had forecast the core CPI to rise 4.9%.

"Today's rise in U.S. inflation was broadly expected but it does confirm that price pressures continue to build but also broaden out," said Jai Malhi, global market strategist at J.P. Morgan Asset Management.

"This release won't deter (the Fed) from speeding up the (taper) process, allowing the central bank to raise rates earlier next year if required."

The U.S. central bank's policy meeting next week will be closely watched for commentary about the path of interest rate hikes next year as well as the pace of bond purchases tapering.

A Reuters poll of economists predicted the Fed would raise rates by 25 basis points to 0.25-0.50% in the third quarter of next year, followed by another in the fourth quarter. However, most saw the risk that a hike comes even sooner.

At 10:10 a.m. ET, the Dow Jones Industrial Average was up 85.38 points, or 0.24%, at 35,840.07, the S&P 500 was up 23.04 points, or 0.49%, at 4,690.49, and the Nasdaq Composite was up 77.22 points, or 0.50%, at 15,594.59.

Shares of Oracle Corp jumped 15.1% after the enterprise software maker forecast an upbeat third-quarter outlook.

The S&P 500 index dropped 5.2% from a record high hit on Nov. 22 as investors digested Jerome Powell's renomination as the Fed's chair, his hawkish commentary to tackle surging price pressures and the discovery of the Omicron coronavirus variant.

A positive update by Pfizer and BioNTech on their vaccine offering some protection against the latest variant helped push the three main indexes for gains of over 3% each this week. The S&P is now down 1.2% from its all-time peak.

Nine of the 11 major S&P sectors advanced in early trading, with the information technology sector, which houses companies like Apple Inc, Microsoft Corp and Nvidia Corp, rising the most.

Broadcom Inc jumped 10.1% as the semiconductor firm sees first-quarter revenue above Wall Street expectations and announced a $10 billion share buyback plan.

Advancing issues outnumbered decliners by a 1.19-to-1 ratio on the NYSE. Declining issues outnumbered advancers for a 1.20-to-1 ratio on the Nasdaq.

The S&P index recorded 23 new 52-week highs and one new low, while the Nasdaq recorded 14 new highs and 66 new lows.