Stocks slide after hot inflation print

U.S. stocks opened higher on Thursday but quickly curled up. The hotter-than-expected headline inflation 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) fell 0.4%, while the Dow Jones Industrial Average (^DJI) shed 0.3%, or 100 points.

The tech-heavy Nasdaq 100 ( ^IXIC ) fell 0.4% on Wednesday after dragging shares of Nvidia ( NVDA ) and Tesla ( TSLA ) .

The February producer price index rose 0.6%, beating expectations for a 0.3% increase. Investors were watching for inflation to cool fast enough to appease central bank policymakers and announce interest rate cuts. Markets played down signs of sticky inflation in Tuesday's CPI report, clinging to hopes that policy will take center stage in the summer.

Retail sales meanwhile rose 0.6%, missing estimates for a 0.8% rise. All eyes were on 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 inventories would shrink. WTI crude futures (CL=F) traded above $80 a barrel, touching their highest level since November, while Brent crude futures (BZ=F) pushed towards $85.

On the corporate front, shares of Fisker (FSR) fell nearly 40% after the Wall Street Journal reported that the EV maker was considering a bankruptcy filing.

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  • Stocks roll in hotter than expected inflation

    Shares opened higher in early trade, but quickly turned negative.

    The S&P 500 (^GSPC) fell 0.3%, while the Dow Jones Industrial Average (^DJI) shed 0.4%, or about 100 points. The Nasdaq Composite (^IXIC) also slipped below the flatline.

    Nvidia ( NVDA ) opened lower for the second day in a row. Shares of the chipmaker, along with Tesla ( TSLA ), dragged shares lower on Wednesday.

    February's producer price index rose 0.6%, beating expectations for a 0.3% rise. Investors were eyeing the print as the last key data point ahead of a key Federal Reserve policy meeting next week.

  • Stocks edged higher despite warmer than expected inflation fears

    Stocks soared. Headline inflation despite warmer-than-expected heat on Thursday.

    The S&P 500 (^GSPC) rose 0.1%, while the Dow Jones Industrial Average (^DJI) gained 0.3%, or more than 100 points. The Nasdaq Composite (^IXIC) recovered 0.2% from yesterday's losses.

    Nvidia ( NVDA ) opened lower for the second day in a row. Shares of the chipmaker, along with Tesla ( TSLA ), dragged shares lower on Wednesday.

    The February producer price index rose 0.6%, beating expectations for a 0.3% increase. Investors were watching the print amid expectations that Fed policymakers will reiterate their desire to cut rates sometime this year after next week's meeting.

  • Retail is making a comeback

    Retail sales rebounded in February after the previous month saw the steepest decline in nearly a year.

    Retail sales rose 0.6% in February from the previous month Census Bureau data. Economists were expecting a 0.8% increase in spending, according to Bloomberg data. January retail sales previously posted a surprise -1.1% decrease.

    February sales, excluding autos and gas, rose 0.3%, according to estimates.

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