US stocks headed higher Friday as optimism over the U.S. Federal Reserve\'s bond-buying program spilled over into a second day. The Fed announced a third round of bond purchases Thursday, saying it would keep interest rates low and make borrowing more available. On Friday, the Bureau of Labor Statistics said U.S. consumer prices rose 1.7 percent on an annual basis in August with the Consumer Price Index 0.6 percent higher than July. Although the seasonally adjusted increase for all consumer items was the largest monthly gain since June 2009, about 80 percent of the increase was on account of gasoline, which rose 9 percent, the bureau said. In early afternoon trading on Wall Street, the Dow Jones industrial average gained 28.84 points, or 0.21 percent, to 13,568.70. The tech-heavy Nasdaq Composite index added 28.72 points, or 0.91 percent, to 3,184.55. The Standard and Poor\'s 500 added 4.57 points, or 0.31 percent, to 1,464.56. The benchmark 10-year treasury fell 1 10/32 to yield 1.871 percent. The euro rose to $1.3108 from Thursday\'s $1.2988. The U.S. dollar rose to 78.28 yen from 77.49 yen. In Tokyo, the Nikkei 255 index added 1.83 percent, 164.24 points, to 9,159.39. In London, the FTSE 100 index gained 1.64 percent, 95.63, to 5,915.55.