From Kiplinger · · 1m 30s
Stocks Drop as Rate-Hike Worries Rise
Stocks fall as inflation data pushes Fed to consider December rate hike.
In brief
Stocks fall as inflation data pushes Fed to consider December rate hike. Stocks dropped as hotter-than-expected inflation data cemented a December rate hike. Originally reported by Kiplinger.
Stocks open lower
Stocks opened lower Tuesday and stayed negative through the close as a hot inflation reading cemented a December rate hike.
Market indices fall
The blue-chip Dow Jones Industrial Average dropped 0.3% to 52,231, the S&P 500 fell 0.4% to 7,520, and the Nasdaq Composite dropped 0.7% to 25,065.
Inflation data
Headline inflation rose 0.4% from September to October, slower than 0.6% but faster than economists expected.
Core inflation
Core CPI, excluding food and energy, rose 0.3% month over month, matching August and September.
Market strategist comment
Michael Casper, senior market strategist at HB Wealth, says hotter-than-expected inflation confirms stickier inflation and likely cements a December rate hike.
Treasury yields spike
Treasury yields soared to their highest levels since late October on expectations the Federal Reserve will raise rates into the new year.
Tech stocks drop
Tech stocks fell as rising Treasury yields and concerns about Anthropic's IPO impacted rate-sensitive tech stocks.
Anthropic IPO details
Anthropic plans to sell 825 million Class A shares at $70 to $78 apiece, raising up to $64 billion at a $1.405 trillion valuation.
Nvidia stock slides
Nvidia fell 5.5% after its board investigated CEO Jensen Huang's alleged romantic relationship with a Chinese spy.
The big picture
Stocks dropped as hotter-than-expected inflation data cemented a December rate hike.
