U.S. Stocks Slide at the Open As Traders Weigh Latest Batch of Economic Data, Inflation Concerns

Tiger Newspress2022-09-15

U.S. stocks fell on Thursday as investors mulled over several economic reports that showed a muddy picture of the U.S. economy.

The Dow Jones Industrial Average ticked down 60 points, or 0.2%. S&P 500 futures dipped about 0.5%, and Nasdaq Composite lost 0.7%.

On Thursday, retail sales and initial jobless claims came in better than expected, but import prices saw a smaller drop than estimates suggested. While those reports suggest that the U.S. consumer sector is holding up, they will do little to alleviate concerns about persistent inflation.

Wall Street is coming off a choppy session in which the major averages posted modest gains. The Dow on Wednesday closed slightly higher, by 30 points, after falling more than 200 points at one point. The S&P 500 rose 0.3%, and the Nasdaq Composite advanced 0.7%.

Stocks sought stability after a hotter-than-expected inflation report on Tuesday sent them tumbling to post their worst day since 2020. August’sconsumer price index report showed headline inflation rose 0.1% on a monthly basis, despite a drop in gas prices.

The stubbornly high inflation has led investors to fear that the Federal Reserve will be more aggressive with its rate hikes, raising the odds of a recession in the U.S.

“Monetary policy works with a 6- to 12-month lag. We believe the financial conditions have already tightened broadly enough across the U.S. economy to cause a shallow recession at the end of this year or the beginning of next,” Chris Senyek of Wolfe Research said in a note to clients. “Financial conditions will tighten even further as the Fed and other central banks continue to hike rates and pursue [quantitative tightening] in the months ahead.”

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • 来人
    2022-09-16
    来人
    Ok
  • bucky16
    2022-09-16
    bucky16
    Ok
  • kenong62
    2022-09-16
    kenong62
    Like 
  • PearlynCSY
    2022-09-16
    PearlynCSY
    U.S. stocks dropped in choppy trading on Thursday as investors mulled over several economic reports that showed a muddy picture of the U.S. economy. The Nasdaq Composite shed 1.43% to close at 11,552.36, while the S&P 500 fell 1.13% to 3,901.35. The Dow Jones Industrial Average outperformed but still dropped 0.56%, to 30,961.82 for its lowest close since July 14. Wall Street is still trying to find its footing after a surprise increase in August’s consumer price index report sparked a decline of more than 1,200 points for the Dow on Tuesday. A minor rebound on Wednesday was wiped out by Thursday’s declines. A mixed batch of economic reports on Thursday did little to bolster investor confidence. Initial jobless claims came in better than expected, but import prices saw a smaller drop th
  • Tanyl
    2022-09-16
    Tanyl
    Most of the shares price drop
  • BKT
    2022-09-15
    BKT
    Pls like thanks 
Leave a comment
28