Stock market today: Stocks drift on Wall Street, hovering just below record high
Stocks drifted on Wall Street, leaving the market hovering just below the record high it set in late March
NEW YORK — Stocks drifted in afternoon trading on Wall Street Tuesday, leaving the market hovering just below the record high it set in late March.
The S&P 500 was mostly unchanged and within about 1% of its record high. The Dow Jones Industrial Average fell 41 points, or 0.1% to 39,389 as of 1:26 p.m. Eastern. The Nasdaq composite rose 0.2%.
Several “meme” stocks, including GameStop and AMC Entertainment, raced higher in a reprise of the social-media driven frenzy of three years ago. GameStop jumped 29.9% and AMC rose 37.8%. Both stocks gave back most of their gains from earlier in the day.
An update on inflation showed that prices remain stubbornly high at the wholesale level, before many price changes are passed along to consumers. The latest producer price index showed that inflation rose sharply in April. The report also included a revision lower for the March reading. The report is the first of two big inflation updates this week that are being closely watched by Wall Street.
“Inflation pressures in the U.S economy are still substantial and the momentum that built up over the last few years is still rolling along,” said by Bill Adams, chief economist for Comerica Bank. “At the margin the Fed will see the April PPI report as another reason to slow-roll interest rate cuts.”
Bond yields edged lower. The yield on the 10-year Treasury slipped to 4.46% from 4.49% late Monday. The yield on the two-year Treasury, which more closely tracks expectations for actions by the Federal Reserve, fell to 4.83% from 4.86%.
The bigger test for markets comes Wednesday, when the U.S. releases its monthly update on consumer prices,
Read more on abcnews.go.com
