Key Highlights

  • The S&P 500 rose 0.4% after the CPI report showed cooler inflation.
  • The Nasdaq Composite gained 1% on the back of the report.
  • IBM shares slid by more than 25% after a dour earnings preview.

The S&P 500 rose 0.4%, while the Nasdaq Composite gained 1%. The Dow Jones Industrial Average slipped by less than 0.1%. The report suggests that inflation may be cooling down, which could impact the Federal Reserve's decision.

Market Impact

The report had a significant impact on the market, with the S&P 500 rising 0.4% and the Nasdaq Composite gaining 1%. The Dow Jones Industrial Average slipped by less than 0.1%. AI chip stocks declined due to rate-hike speculation and profit-taking.

IBM shares slid by more than 25% after a dour earnings preview. Oil prices edged higher after Brent crude futures jumped on Monday.

What's Next

The Federal Reserve is expected to make an interest rate decision soon. Bond traders increased bets on a rate hike before the report. Companies such as SK Hynix, JPMorgan, Bank of America, Wells Fargo, Citigroup, and Goldman Sachs could be impacted by the interest rate decision.

This article is for informational purposes only and does not constitute financial advice. Please consult a licensed financial adviser before making investment decisions.