Stocks Fall After Stronger-Than-Expected PPI Data: Markets Wrap
(Bloomberg) — Stocks extended this month’s slide as a stronger-than-anticipated inflation reading reinforced speculation that the Federal Reserve won’t cut interest rates in the near term. Bonds trimmed gains slightly.
S&P 500 futures fell 0.9%. The yield on 10-year Treasuries declined two basis points to 3.98%. The dollar wavered. Money markets are projecting at least two rate cuts this year, with the first one fully priced in July.
The producer price index increased 0.5%, the most since September, a revised 0.4% increase in December, a Bureau of Labor Statistics report showed Friday. An underlying gauge that excludes food and energy advanced by the most since July.
Alongside recent indications of a stabilizing labor market, Fed officials will likely want to see further inflation progress before lowering interest rates.
Corporate Highlights:
Dell Technologies Inc. gave an outlook for sales of its artificial intelligence servers that exceeded estimates. CoreWeave Inc. reported a bigger-than-expected loss and boosting capital expenditures, spurring concerns about the company overspending on infrastructure. Netflix Inc. dropped out of the fight to buy Warner Bros. Discovery Inc., clearing the way for rival bidder Paramount Skydance Corp. to clinch its $111 billion deal. Anthropic PBC rejected the Pentagon’s latest offer in a dispute over safeguards around the use of its artificial intelligence technology by the US military. Block Inc. said it was reducing its workforce by nearly half in a bet on AI. Jack Dorsey’s firm also raised its full-year outlook for gross profit. Some of the main moves in markets:
Stocks
S&P 500 futures fell 0.9% as of 8:32 a.m. New York time Nasdaq 100 futures fell 0.9% Futures on the Dow Jones Industrial Average fell 1.1% The Stoxx Europe 600 fell 0.2% The MSCI World Index was little changed Currencies
The Bloomberg Dollar Spot Index was little changed The euro was little changed at $1.1800 The British pound fell 0.2% to $1.3458 The Japanese yen was little changed at 156.01 per dollar Cryptocurrencies
Bitcoin fell 2.3% to $65,939.07 Ether fell 3.6% to $1,957.27 Bonds
The yield on 10-year Treasuries declined three basis points to 3.98% Germany’s 10-year yield declined one basis point to 2.68% Britain’s 10-year yield declined three basis points to 4.24% The yield on 2-year Treasuries declined three basis points to 3.40% Commodities
West Texas Intermediate crude rose 3.6% to $67.54 a barrel Spot gold rose 0.9% to $5,229.29 an ounce ©2026 Bloomberg L.P.
