Dow Falls 0.3% as 3.7% Inflation Keeps Rate-Hike Fears Alive
Updated
Updated · Investor's Business Daily · Aug 26
Dow Falls 0.3% as 3.7% Inflation Keeps Rate-Hike Fears Alive
3 articles · Updated · Investor's Business Daily · Aug 26
Summary
U.S. stocks slipped Wednesday afternoon, with the Dow down 0.3%, as investors worried inflation may stay elevated and keep pressure on interest rates.
3.7% inflation data released earlier came in above the 3.6% economists expected and remained well above the Federal Reserve's 2% target, pushing Treasury yields higher.
Nvidia pulled back ahead of its earnings report, while Abercrombie & Fitch jumped sharply and Dycom sold off after its results.
The market reaction reinforced expectations that the Fed could still deliver another rate hike by year-end if price pressures do not ease.