Wall Street closes mixed with Dow at record high and S&P & Nasdaq lower

Eren Sengezer FXStreet

Major equity indexes in the U.S. came under pressure during the first half of the session after the data from the U.S. showed that the inflation increased by a faster than expected pace in August. However, the Dow Jones Industrial Average was able to stage a rebound in the late NA session after Deutsche Bank revised up its price target for Boeing, allowing its shares to add more than 1%.

According to the data released by the U.S. Bureau of Labor Statistics, the Consumer Price Index for All Urban Consumers (CPI-U) rose at its highest rate since February at 0.4% in August, lifting the annual CPI up to 1.9%. Commenting on the data, "I don't think the market was expecting that kind of a strength in terms of inflation. What people want is know is whether or not Yellen is going to talk about the lack of inflation as transitory, or whether it is continuing to concern them," Victor Jones, director of trading at TD Ameritrade told Reuters.

The S&P energy index .SPNY pushed higher for the third day in a row, gaining 0.33% after the barrel of West Texas Intermediate rose above the $50 threshold for the first time in more than a month.

The Dow Jones Industrial Average gained 48.89 points, or 0.22%, to close at a new all-time-high at 22,207.07 points. The S&P 500 .SPX lost 1 point, or 0.4%, to 2,494.00, and the Nasdaq Composite .IXIC dropped 31.10 points, or 0.48%, to 6,429.08 as Apple shares extended its losses.

Headlines from the U.S. session:

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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