- US stocks fell Friday on hotter-than-anticipated inflation at the wholesale level.
- The sell-off capped a losing week for indexes as investors look ahead to a pivotal period for markets.
US stocks fell Friday after wholesale inflation rose more than expected last month, raising concerns that the Federal Reserve will keep rates higher for longer.
The producer price index rose 0.3% in November from the prior month, exceeding expectations of 0.2%. That sets up markets for next week, with consumer inflation data coming out on Tuesday and the Fed's policy decision due on Wednesday.
While the central bank is widely expected to slow down the pace of its rate hikes as inflation comes off its highs, signs of sticky prices could push back the timeline for an eventual Fed pivot toward lower rates.
Meanwhile, Friday's slump capped a losing week for markets, with the Dow down 2.3%, the S&P 500 off 2.8%, and the Nasdaq shedding 3.4%.
Here's where US indexes stood as the market closed at 4:00 p.m. on Friday:
- S&P 500>$4: 3,934.29, down 0.74%
- Dow Jones Industrial Average>$4: 33,475.60, down 0.91% (305.88 points)
- Nasdaq Composite>$4: 11,004.62, down 0.7%
Here's what else is going on today:
- $4 because the Fed is likely to continue with its string of rate hikes, billionaire property investor Sam Zell said.
- $4 and the S&P 500 could soar 26% in the next 12 months, Leuthold Group's Jim Paulsen said.
- $4 in 2023 as many think, according to BlackRock strategist Kate Moore.
- $4 as certain housing and labor market data points may be overstating prices, said Nobel economist Paul Krugman.
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