American stock indices fell by 0.5-0.8%
The US stock market closed in the red on Tuesday after rising early in the day on data that inflation in the US was slightly weakening. At the same time, the Nasdaq Composite dropped for the fifth session in a row.
Initially, the market began to rally in relief due to slightly smaller-than-expected price increases, but this data is unlikely to change the intentions of the Federal Reserve to roll back stimulus measures, says Randy Frederick, managing director of Charles Schwab.
Consumer prices (CPI) in the country in August rose by 5.3% compared to the same month last year, the Ministry of Labor said. Thus, inflation has slowed down somewhat compared to the maximum value over the past thirteen years of 5.4%, which was recorded in June and July. The change in the CPI index in August coincided with the average forecast of analysts.
Prices excluding food and energy (Core CPI) increased 0.1% MoM (the smallest increase since February) and 4% YoY. The consensus forecast was for an increase of 0.3% and 4.2%, respectively.
The Dow Jones Industrial Average on Tuesday fell by 292.06 points (0.84%), that is, to 34577.57 points.
The value of Standard & Poor's 500 decreased during the day by 25.68 points (0.57%), amounting to 4468.73 points.
The Nasdaq Composite dropped by 67.82 points (0.45%), that is, to 15,037.76 points.
Oracle Corp. decreased yesterday by 2.8%. A day earlier, one of the world's largest software companies announced that its revenue in the first quarter of fiscal year 2022 (June-August) increased by 4%. However, it did not live up to the expectations of the experts.
Apple Inc. dropped 1% after the company unveiled a new line of smartphones, the iPhone 13, as part of the annual event. The new iPad and Apple Watch were also shown with a display that seamlessly merges with the body.
Herbalife Nutrition Ltd. plummeted more than 21% after a nutritional supplement maker worsened its financial outlook for the second time in a month.
Sportradar Group AG fell 7.2% at its debut trading to $ 25.05. The Swiss sports performance analytics firm conducted an IPO at $ 27 on the Nasdaq and raised $ 513 million. The IPO was $ 513 million, and the company as a whole was valued at $ 21.07 billion.
Among the Dow Jones components, Walgreens Boots Alliance Inc. (-2%), Caterpillar Inc. (-1.9%) and Chevron Corp. (-1.8%). At the same time, only Microsoft Corp. shares rose in price. (+ 0.9%), Salesforce.com Inc. (+ 0.1%) and Coca-Cola Co. (+ 0.1%).
Intuit Inc. added 2% in price. The software maker that owns tax-processing platform TurboTax has announced its $ 12 billion purchase of marketing firm MailChimp.