Investors turned cautious as new economic data was released, causing US stocks to reverse early gains. This shift occurred amidst Nvidia’s significant artificial intelligence plans.
The S&P 500 (^GSPC) saw a decline of approximately 0.6%, while the Nasdaq Composite (^IXIC) experienced a loss of about 1.4%. The Dow Jones Industrial Average (^DJI) fluctuated during the mid-morning session before dropping around 0.1% in the afternoon.
Simultaneously, the 10-year Treasury yield (^TNX) rose by roughly 6 basis points, settling just below 4.7%. Expectations for when the Federal Reserve might reduce interest rates were also pushed back.
Earlier on Tuesday, the Institute for Supply Management’s manufacturing PMI revealed ongoing expansion in the sector last month. However, concerns arose as the prices paid index surged to a nearly two-year high of 64.4, up from its previous level of 58.2.
The sharp increase in prices has raised worries for the Fed, especially with PCE supercore inflation projected to remain at 3.5% until mid-next year according to Capital Economics North America…
2025-01-07 13:09:23
Source from finance.yahoo.com