U.S. stock markets faced pressure during the week due to oil prices breaking above $100 per barrel and the producer price index in August exceeding expectations. Subsequently, markets raised their bets on a Fed interest rate hike in September, with the related probability rising to 70%.
PPI Data exceeds expectations
In August, PPI increased by 5.4% year-on-year, higher than the market's estimate of 5.3%. Excluding food and energy, the core PPI rose by 4.6% year-on-year, from a previous value of 4.3%.
Futures prices generally fell back.
Dow futures fell by 0.33%, Nasdaq futures fell by 1%. S&P 500 futures, however, rose slightly by 0.55%, indicating that market sentiment remains divided.
Individual stock performances show divergence.
Meta rose 1.4% after JPMorgan raised its rating. Apple rose 1% after releasing the foldable screen iPhone. Despite Macy's performance exceeding expectations, its stock price still fell.
