US stocks were little changed on Thursday as investors digested fresh inflation and labor data testing high-running expectations for a quarter-point interest-rate cut next week.

The S&P 500 (^GSPC) rose slightly while the Nasdaq Composite (^IXIC) gained 0.5%, coming off sharp closing gains fueled by a tech rally. The Dow Jones Industrial Average (^DJI) dipped slightly.

The market is regrouping after a seesaw Wednesday that saw revived enthusiasm for techs pull stocks out of a slide. Those losses came as the latest consumer inflation reading knocked hopes for a 0.5% rate cut by the Federal Reserve.

Read more: Fed predictions for 2024: What experts say about the possibility of a rate cut

Before the bell, the August Producer Price Index provided indication that inflation pressures are cooling enough for the Fed to start easing rates.

Wholesale prices rose at a rate of 0.2% month-over-month, slightly above what economists anticipated. On an annualized basis, PPI increased 1.7%, in line with expectations, while July’s reading was revised lower.

Meanwhile, data showed initial jobless claims climbed more than expected to 230,000 last week, an increase of 2,000 from the prior weekly period. Traders’ odds of a 25 basis point cut edged up to 87% after the reports, compared with 50% just days ago.

On the corporate front, Moderna (MRNA) shares cratered 17% after the biotech giant lowered its annual revenue outlook for 2025. The company also said it will slash its annual R&D budget by roughly $1.1 billion by 2027.

Live3 updates

  • ‘No huge surprises’: Why Apple stock hasn’t moved much on iPhone 16 news

    Yahoo Finance’s Madison Mills reports:

    Apple’s artificial intelligence offering, Apple Intelligence, was the star of its annual iPhone event on Monday.

    But for investors, the slow rollout of Apple Intelligence could pose a problem. While Apple’s iPhone 16 hits stores on Sept. 20, the software update required for Apple Intelligence won’t be available for US English users until October.

    The disconnect between the hardware and software may have been one reason why Apple stock didn’t move much on the news. Shares of the iPhone maker were down by about 0.9% during the company’s “Glowtime” presentation in Cupertino, Calif., and they were up less than 1% over the three days since the event.

    Read more here.

  • Delta issues strong outlook despite summer tech glitch

    Delta (DAL) stock jumped before dipping into negative territory Thursday after the airline said its full year profit will come at the mid-point of its previously anticipated range, despite a computer glitch earlier this summer.

    The airline see full year adjusted earnings per share at or above $6.50 versus a prior reading of $6 to $7, excluding the impact from a global tech outage in July.

    Delta shares dipped nearly 2% in early trading.

  • Stocks steady amid more cooling inflation data, higher than expected jobless claims

    Stocks were little changed on Thursday as investors digested a fresh batch of data that could provide clues on how big of an interest rate cut the Federal Reserve will decide to implement at its policy meeting this month.

    The S&P 500 (^GSPC) and the Nasdaq Composite (^IXIC) were flat, coming off sharp closing gains fueled by a tech rally. The Dow Jones Industrial Average (^DJI) was also little changed.

    On the inflation data front, the Producer Price Index rose 0.2% in August from the prior month, slightly higher than what economists had been expecting. Meanwhile July’s PPI reading was revised to the downside. On a year-over-year basis, wholesale prices rose 1.7%, in line with expectations.

    Weekly initial jobless claims rose by 2,000 to 230,000, higher than what economists had been anticipating.

    Investors are paying close attention to these data points as the Federal Reserve prepares to meet next week. The markets have been widely anticipating a rate cut. What is unknown is how big that cut will be.

Read the full article here

Share.

Leave A Reply

Your road to financial

freedom starts here

With our platform as your starting point, you can confidently navigate the path to financial independence and embrace a brighter future.

Registered address:

First Floor, SVG Teachers Credit Union Uptown Building, Kingstown, St. Vincent and the Grenadines

CFDs are complex instruments and have a high risk of loss due to leverage and are not recommended for the general public. Before trading, consider your level of experience, relevant knowledge, and investment objectives and seek financial advice. Vittaverse does not accept clients from OFAC sanctioned jurisdictions. Also, read our legal documents and make sure you fully understand the risks involved before making any trading decision