Share this @internewscast.com

Stocks dropped on Tuesday after hotter-than-expected inflation data for January spiked Treasury yields and raised doubts that the Federal Reserve would be able to cut rates several times this year, a key part of the bull case for the equity market.

The Dow Jones Industrial Average lost 524.63 points, or 1.35%, for its worst session since March 2023 on a percentage basis. At its lows, the 30-stock index sunk 757.52 points, or 1.95%. The S&P 500 slid 1.37%, while the Nasdaq Composite fell 1.8%.

The Russell 2000 also suffered, tumbling nearly 4% for its worst session since June 2022.

The consumer price index rose 0.3% in January from December. CPI was up 3.1% on an annual basis. Economists polled by Dow Jones expected CPI to have increased by 0.2% month over month in January and 2.9% from a year earlier.

Core prices, which exclude volatile food and energy components, rose 0.4% month over month and 3.9% from a year ago. Core CPI was expected to have increased 0.3% in January and 3.7% from a year earlier, respectively.

“This may well come as a easy excuse to take some of the froth out of the top of this market that’s been universally higher thus far this year,” said Art Hogan, chief market strategist at B. Riley Financial. “The CPI was, as reported today, just a touch hotter than expectations and proof positive that we’re not on a linear path, but we’re on a path headed lower.”

The 2-year Treasury yield jumped above 4.63%, and the 10-year yield topped 4.29% following the CPI data. Tech shares including Microsoft and Amazon, which have steered the market run to record highs as rates declined, led the losses in trading Tuesday. Microsoft slid 2.2%, while Amazon fell 2.1%.

In corporate news, JetBlue Airways spiked 20% after activist investor Carl Icahn reported a nearly 10% stake in the airline. Toymaker Hasbro lost 3% after missing analyst expectations for the fourth quarter. Shares of Avis Budget Group slipped 22% on the back of disappointing fourth-quarter revenue.

Share this @internewscast.com
You May Also Like
Army Officer Court-Martialed Over COVID Rules by Vindman Brother Finally Reinstated on Active Duty

Army Officer Rejoins Active Duty After Vindman Brother’s Court-Martial Overturns COVID Rules Case

Mark Bashaw, previously the only member of the Armed Forces to face…
Chicago CTA riders brace for weekend work halting of trains on elevated Loop tracks on Brown, Green, Orange and Pink lines

Chicago Transit Alert: Major Weekend Disruptions on Loop Elevated Tracks for Brown, Green, Orange, and Pink Lines

CHICAGO (WLS) — This weekend might pose difficulties for CTA riders as…
Rosa Parks and Helen Keller statues will be unveiled at the Alabama Capitol

Statues of Rosa Parks and Helen Keller Set for Unveiling at Alabama Capitol

Rep. Laura Hall, who played a crucial role in the legislation permitting…
Minneapolis church shooting victim released from hospital after miraculous recovery

Miraculous Recovery: Minneapolis Church Shooting Survivor Triumphs with Hospital Release

Amidst applause and heartfelt cheers, Sophia Forchas made her triumphant exit from…
Hollywood piano teacher allegedly flees country after sexual abuse conviction involving teen

Renowned Hollywood Piano Instructor Vanishes Overseas Following Teen Abuse Verdict

In an unexpected twist, a Hollywood piano teacher, convicted of sexually abusing…
Fox News ‘Antisemitism Exposed’ Newsletter: Rabbis' stern Mamdani warning

Rabbis Issue Strong Warning to Zohran Mamdani in Fox News’ ‘Antisemitism Exposed’ Newsletter

Fox News’ “Antisemitism Exposed” newsletter offers insights into the growing tide of…
Dashcam video shows deadly freeway crash involving suspected illegal immigrant trucker

Shocking Dashcam Footage Reveals Fatal Freeway Collision Involving Alleged Undocumented Trucker

A shocking dashcam video has emerged capturing a fatal incident on a…
Suburban woman has saved 3 lives with what is commonly known as Heimlich maneuver, most recently at Schaumburg High School

Suburban Heroine Uses Heimlich Maneuver to Save Three Lives, Latest at Schaumburg High School

A woman from the suburbs of Schaumburg, Illinois, has become a beacon…
CPS news: Some Chicago Board of Education members call for Chicago Public Sshools remote learning amid immigration operations

Chicago Board Members Urge CPS to Consider Remote Learning in Response to Immigration Actions

CHICAGO — A renewed push for remote learning in Chicago Public Schools…
Man shot 10 times protecting high school cheerleader who died after shooting at bonfire: report

Heroic Act: Man Fatally Shot Defending Cheerleader at Tragic Bonfire Incident

An Alabama resident claims he endured ten gunshot wounds while attempting to…
FBI opens investigation after driver allegedly rams ICE vehicle during Arizona traffic stop attempt

FBI Investigates After Driver Allegedly Collides with ICE Vehicle in Arizona Traffic Stop

In a startling event on Thursday morning, a vehicle carrying two Immigration…
States worry about how to fill the gap in food aid ahead of a federal benefits halt

States Brace for Food Aid Crisis as Federal Benefits Set to Expire: Exploring Solutions to Bridge the Hunger Gap

Officials from Louisiana, Vermont, and Virginia have committed to ensuring that food…