by Finimize Newsroom
Finimize
What’s going on here?
Wall Street faced a dip with investors eagerly awaiting key inflation data that could determine the Fed’s interest rate decision next week.
What does this mean?
Investors are on edge this week, as crucial inflation reports are expected to influence the Fed’s upcoming rate decision. This nervous anticipation comes amid a turbulent mix of tech sector ups and downs. Alphabet’s shares soared thanks to a new chip announcement, lifting the communication services sector. Meanwhile, Oracle’s underwhelming second-quarter report led to a sell-off in tech stocks, worsened by challenges in the chip sector due to China’s scrutiny of Nvidia. Major indexes mirrored this uncertainty: the S&P 500 fell 0.27%, the Nasdaq slipped 0.25%, and the Dow Jones dropped 0.32%. With the Consumer Price Index (CPI) report likely to show a slight increase to 2.7%, the market projects an 86% chance of a rate cut at the Fed’s December 17-18 meeting, strongly influenced by recent job data.