Wall Street Opera in red this Friday, February 16, after a day in which the S&P 500 marked a new record. The cancellation of this wheel occurs after knowing negative data of wholesale prices in USA.
In this framework, the index Dow Jones gives up 0.5%the technological Nasdaq 0.7% and the S&P 500which closed with a record last Thursday, lose 0.5%.
Wall Street down: in what context?
The wholesale prices in the United States rose more than expected in Januaryaccording to official figures released this Friday.
He producer price index (PPI), which measures the evolution of wholesale prices, advanced 0.3% compared to last month, after a decline of 0.1% in December, reported the Department of Commerce.
This data exceeded market expectations, which forecast an increase of 0.1%, according to Briefing.com. In the one-year measurement, the increase in wholesale prices was a little less pronounced than in December, 0.9% compared to 1%.
But by excluding the more volatile food and energy figuresthe call Underlying inflation registered your biggest monthly increase since January 2023of 0.6%, and remained stable measured at one year, at 2.6%.
Bets in favor of a rate cut of at least 25 basis points in May rose to 40.6%while the probabilities for June stood at 82%, according to CME Group’s FedWatch tool.
“Investors are cheering the fact that we got a weaker than expected retail report,” said Neville Javeri, portfolio manager at Allspring Global Investments. “Maybe consumption is slowing down, maybe this will cancel out the higher CPI figure we saw a couple of days ago”he declared.
The actions of Alphabet fell after investment firm Third Point dissolved its stake in the mega-cap company.
Source: Ambito
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