US Stocks Little Changed as Market Awaits Inflation Data
US stocks were little changed on Tuesday, pausing ahead of the release of key inflation data that could influence the Federal Reserve’s monetary policy meeting later this month. The Dow Jones Industrial Average fell 0.4%, while the S&P 500 remained flat and the Nasdaq Composite gained 0.5%.
The focus is on this week’s US inflation data, with economists expecting a slight increase to 2.7% from 2.6% year-on-year, while core inflation, which excludes volatile food and energy items, is expected to remain at 3.3%. The data will be closely watched for cues on interest rates, as the Federal Reserve is still considering a rate hike.
The technology sector remained under pressure on Tuesday, with Oracle plummeting over 8% after missing quarterly earnings estimates amid increased competition in the cloud computing market. MongoDB fell 10% despite raising its annual revenue forecast, while C3.ai dropped 7%.
On the other hand, drugmaker Eli Lilly rose after announcing a $15 billion share buyback and hiking its dividend. Alaska Air’s stock soared 14% after the airline raised its fourth-quarter profit forecast due to robust travel demand and improved pricing.
Crude oil prices steadied on Tuesday, pausing after a 1% gain on Monday, as traders assessed the turmoil in the Middle East and the Chinese economic outlook. Oil prices rose on Monday on hopes of more stimulus measures from China’s top political body and heightened geopolitical tensions in Syria. However, concerns have since eased about the fallout from the Syrian crisis, with Syria’s rebels working to form a government and restore order.
