US STOCKS-Wall St Falls as Hot Inflation Data Fuels Rate-Hike Jitters
Hotter-than-expected inflation lifted Treasury yields and sent rate-sensitive sectors and major technology stocks lower, with traders pricing in a 99% chance of a December hike.
- Wall Street's main indexes retreated on Tuesday as U.S. consumer prices rose 0.4% in October, reinforcing fears that the Federal Reserve will maintain higher interest rates longer than previously expected.
- Fed Governor Christopher Waller suggested the central bank should raise rates by at least 25 basis points next month, while traders are pricing in a 99% chance of a December hike per CME FedWatch.
- The Nasdaq Composite dropped 1.27% as tech shares led losses, while the Dow Jones Industrial Average fell 0.65% on Tuesday; real estate and utilities declined over 0.5% each.
- Nvidia slipped 4.4% as an internal probe into CEO Jensen Huang intensified amid alleged spy claims involving Alice Huang, deepening volatility across the broader semiconductor sector.
- Anthropic revealed plans for a public listing expected to raise $64.4 billion with a fully diluted valuation of up to $1.4 trillion, despite the broader AI sector's recent volatility.
14 Articles
14 Articles
US yields rise, stocks fall as inflation data boosts odds of larger December rate hike
US Treasury yields jumped and Wall Street stocks fell on Tuesday after a hotter-than-anticipated US inflation reading boosted odds that the Federal Reserve will hike interest rates by a half percentage point next month.
Wall Street retreats as hot inflation shortens odds of a rate hike, ASX set to slide
Wall Street hit the brakes as higher-than-expected inflation looks to have cemented a December rate hike, while the ASX is priced to slide as well. Follow the day's events and insights from our business reporters on the ABC News live markets blog.
Wall St falls as hot inflation data fuels rate-hike jitters
Wall Street's main indexes retreated on Tuesday, pausing a two-day rebound in tech shares, after a hotter-than-expected October inflation reading reinforced fears that the Federal Reserve could keep interest rates higher for longer. US consumer prices increased more than expected in October, rising 0.4 percent from the previous month, pushing the U.S. 2-year yield up 21.4 basis points for its biggest one-day jump since April last year. "Markets …
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