U.S. stocks suffered losses after economic data showed another 40-year high CPI print. Moreover, talks held between Russia and Ukraine’s foreign ministers failed to make progress on negotiating a ceasefire.
The S&P 500 dropped 0.43% to 4,259.49 after posting its biggest gain in a long time on Wednesday. The Dow Jones Industrial Average fell 113 points or 0.34% to 3,173.22 following a 650-point rally on Wednesday. The Nasdaq Composite declined nearly 1% to 13,129.96.
In the meantime, the 10-year U.S. Treasury index jumped 6.6 points to yield 2%. The U.S. 30-year yield jumped to 2.39%, marking the highest level since May 2021.
On Thursday, Russian foreign minister Sergei Lavrov met with his Ukrainian counterpart Dmytro Kuleba to discuss a 24-hour ceasefire across the war zone and opening of a corridor in Mariupol but Lavrov did not commit to either.
U.S. stocks and investors
The declines on Thursday came after stocks ended a losing streak in the previous session to log their best session in two years. On Wednesday, stocks rose as investors looked optimistically toward a possible de-escalation of Russia’s war in Ukraine.
Energy prices declined sharply on Wednesday after soaring to a 14-year high this week. Prices jumped following reports Ukrainian president Volodymyr Zelensky was open to discussing a diplomatic solution with Russia.
Apart from the situation in Ukraine investors also monitored the Bureau of Statistics’ Consumer Price Index (CPI) for the latest gauge on inflation.
Consumers paid more for a variety of goods and services in February compared to January and 2021 as price level across the economy continued to surge amid lingering supply and demand disruptions. The latest Consumer Price Index read notched 7.9% in February compared to 2021 in the fastest annual jump since 1982. The latest result also surpassed January’s previous 40-year high rate of 7.5%.
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