Stock market today: Stocks slide after hot inflation print
03/14/2024 21:01
Stocks edge higher despite a hotter than expected wholesale inflation print and rebounding retail sales, data that could sway the Federal Reserve at its policy meeting next week.
US stocks quickly rolled over on Thursday despite opening higher. A hotter than expected wholesale inflation print served as one of the last pieces of data that could sway the Federal Reserve at its policy meeting next week.
The S&P 500 (^GSPC) slid 0.4% while the Dow Jones Industrial Average (^DJI) fell 0.3% or 100 points.
The tech-heavy Nasdaq 100 (^IXIC) also fell 0.4% after Nvidia (NVDA) and Tesla (TSLA) dragged stocks lower on Wednesday.
February's producer price index rose 0.6%, higher than an expected increase of 0.3%. Investors were watching whether inflation is cooling fast enough to satisfy Fed policymakers and herald interest-rate cuts. That said, the market shrugged off signs of sticky inflation in Tuesday's CPI report and stuck to their hopes for a policy pivot come summer.
Meanwhile retail sales increase 0.6%, coming in short of estimates for a rise of 0.8%. Eyes were closely watching Thursday's data release for clues on the health of the US economy ahead of the central bank's two-day meeting next week.
In commodities, oil’s revived rally continued to build after the IEA warned that supply would lag this year and US stockpiles shrank. WTI crude futures (CL=F) traded just above $80 per barrel and touched their highest levels since November, while Brent crude futures (BZ=F) pushed toward $85.
On the corporate front, Fisker's (FSR) shares plunged almost 40% after a Wall Street Journal report that the EV maker is exploring a bankruptcy filing.
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Stocks roll over on hotter than expected inflation print
Stocks opened higher but quickly turned negative in early trading.
The S&P 500 (^GSPC) fell 0.3% while the Dow Jones Industrial Average (^DJI) also declined 0.4%, or about 100 points. The Nasdaq Composite (^IXIC) turned into red territory.
Nvidia (NVDA) opened lower for a second day in a row. Shares of the chipmaker along with Tesla (TSLA) dragged stocks lower on Wednesday.
February's producer price index rose 0.6%, higher than an expected rise of 0.3%. Investors were watching the print as the last major data point ahead of next week's key Federal Reserve policy meeting.
the print amid expectations that Fed policymakers will reiterate their intention to cut rates sometime this year after next week's Fed meeting.
Stocks slightly higher despite a hotter than expected inflation print
Stocks edged up. on Thursday despite a hotter than expected wholesale inflation print.
The S&P 500 (^GSPC) rose 0.1% while the Dow Jones Industrial Average (^DJI) rose 0.3%, or over 100 points. The Nasdaq Composite (^IXIC) also gained 0.2%, rebounding from yesterday's losses.
Nvidia (NVDA) opened lower for a second day in a row. Shares of the chipmaker along with Tesla (TSLA) dragged stocks lower on Wednesday.
February's producer price index rose 0.6%, higher than an expected increase of 0.3%. Investors were eyeing the print amid expectations that Fed policymakers will reiterate their intention to cut rates sometime this year after next week's Fed meeting.
Retail sales rebound
Retail sales rebounded in February after seeing their steepest decline in nearly a year during the month prior.
Retail sales rose 0.6% in February from the previous month, according to Census Bureau data. Economists had expected a 0.8% increase in spending, according to Bloomberg data. January retail sales previously posted a surprise -1.1% decrease.
February sales, excluding auto and gas, increased by 0.3%, in line with estimates.
