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| S&P 500 Falls After Inflation |
The S&P 500 closed lower on Wednesday (12th) after U.S. inflation data came in higher than expected. The result heightened concerns that the Federal Reserve may delay interest rate cuts, impacting the stock market. Meanwhile, some companies, such as CVS Health and Gilead Sciences, stood out positively with solid earnings reports.
High Inflation Delays Rate Cuts
Inflation data exceeded projections, reducing expectations for imminent rate cuts by the Fed. This created a cautious mood among investors, leading to a sell-off in the market.
Index Performance
S&P 500: Down 0.28%, closing at 6,051.92 points.
Nasdaq: Slight increase of 0.03%, closing at 19,649.95 points, driven by tech companies.
Dow Jones: Down 0.50%, closing at 44,368.68 points, pressured by interest rate-sensitive sectors.
CVS Health and Gilead Sciences Stand Out
Despite the volatility, CVS Health and Gilead Sciences shares rose after reporting positive earnings. CVS was boosted by higher revenue in healthcare services, while Gilead saw strong performance in its pharmaceutical sales.
Market Outlook
With persistent inflation, the market now awaits further signals from the Fed regarding potential rate cuts. Volatility is expected to continue, especially for credit-sensitive sectors.
