World News Trust World News Trust
World News Trust World News Trust
  • News Portal
  • All Content
    • Edited
      • News
      • Commentary
      • Analysis
      • Advisories
      • Source
    • Flatwire
  • Topics
    • Agriculture
    • Culture
      • Arts
      • Children
      • Education
      • Entertainment
      • Food and Hunger
      • Sports
    • Disasters
    • Economy
    • Energy
    • Environment
    • Government
    • Health
    • Media
    • Science
    • Spiritual
    • Technology
    • Transportation
    • War
  • Regions
    • Africa
    • Americas
      • North America
      • South America
    • Antarctica
    • Arctic
    • Asia
    • Australia/Oceania
    • Europe
    • Middle East
    • Oceans
      • Arctic Ocean
      • Atlantic Ocean
      • Indian Ocean
      • Pacific Ocean
      • Southern Ocean
    • Space
  • World Desk
    • Submit Content
  • About Us
  • Sign In/Out
  • Register
  • Site Map
  • Contact Us
  • Russia's War and the Global Economy | Nouriel Roubini
  • U.S. Considers Radical Rethinking Of Dollar For Today's Digital World | David Gura
  • Why is Israel Amending Its Open-Fire Policy?: Three Possible Answers | Ramzy Baroud
  • WATCH: Republican National Committee Abandons America
  • ‘Previously Unknown Massacres’: Why is Israel Allowed to Own Palestinian History? | Ramzy Baroud
  • The Revolt of the Imagination, Part One: Notes on Belbury Syndrome | John Michael Greer
  • Human gut bacteria have sex to share vitamin B12 | University of California - Riverside

U.S. Stocks Fall as Inflation Gains; Banks, Energy Shares Drop (Nick Baker)

More items by author
Categories
Edited | News -- WNT Selected
Tool Bar
View Comments

  An unexpected surge in inflation drove U.S. stocks to their first decline in three days and erased all of last week's rebound on concern the Federal Reserve is unlikely to lower interest rates this year.

  By Nick Baker

  March 16 (Bloomberg) -- An unexpected surge in inflation drove U.S. stocks to their first decline in three days and erased all of last week's rebound on concern the Federal Reserve is unlikely to lower interest rates this year.

  American Express Co. and Citigroup Inc., whose profits rise when borrowing costs fall, sent the Dow Jones Industrial Average to its sixth weekly loss this year and worst start since 2003. Energy shares slid the most in the Standard & Poor's 500 Index, led by Exxon Mobil Corp., as oil reached a six-week low.

  The 0.4 percent rise in prices paid by consumers in February offset the biggest increase in industrial production since 2005 and stirred speculation the Fed will be hampered in efforts to restore economic growth. Consumer confidence dropped to the lowest in six months, deepening concern the economy is losing momentum.

  ``There has been the feeling that the Fed may be forced to lower rates,'' said Stanley Nabi, who helps oversee about $8 billion at Silvercrest Asset Management in New York. Higher inflation ``will prevent the Fed from reducing rates.''

  The Dow Jones Industrial Average fell 49.27, or 0.4 percent, to 12,110.41. The Standard & Poor's 500 Index retreated 5.34, or 0.4 percent, to 1386.94, while the Nasdaq Composite Index declined 6.04, or 0.3 percent, to 2372.66.

  Stocks retreated this week on speculation that home-loan defaults will curb economic growth. Today's inflation report comes a day after the government said wholesale prices also increased more than expected last month.

more

READ MORE: Bloomberg  

back to top
  • Created
    Friday, March 16 2007
  • Last modified
    Wednesday, November 06 2013
  1. You are here:  
  2. Home
  3. All Content
  4. Edited
  5. U.S. Stocks Fall as Inflation Gains; Banks, Energy Shares Drop (Nick Baker)
Copyright © 2022 World News Trust. All Rights Reserved.
Joomla! is Free Software released under the GNU General Public License.