(News Bulletin 247) – Wall Street ended Thursday’s session clearly at half mast, following figures that fueled fears around Fed policy. The Dow Jones fell almost 1.3% to 33,697 points, while the Nasdaq Composite dropped 1.8% to 11,856 points.
Producer prices in the United States rose more than expected in January (+0.7%), mainly due to a marked rebound in energy costs, thus distancing the prospect of a rate cut from from the US central bank.
Cleveland Fed President Loretta Mester said 50 basis point rate hikes were warranted given the current economic environment, while acknowledging that it was better not to surprise the markets too much. .
In other worrying data released on Thursday, the Philadelphia Fed’s manufacturing activity index fell from -8.9 last month to -24.3 in February, its sixth consecutive negative reading and its lowest level since May. 2020.
Finally, the Commerce Department reported a 4.5% decline in housing starts and a stagnation in housing building permits in the United States in January, at levels lacking market consensus.
On the stock side, Cisco gained 5.2%, the network equipment supplier having announced a 3% increase in its quarterly dividend and an increase in its annual objectives on the occasion of its publication. quarterly.
Hasbro managed to finish slightly in the green (+0.1%) although the manufacturer of games and toys presented results below its own objectives, penalized by significant charges linked to its new strategic orientation.
Paramount Global, on the other hand, dropped 4.2%, after the presentation by the media and entertainment group of a sharply lower quarterly profit, due to heavy investments in its international development and the addition of content.
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