Wall Street tumbles as investors eye hot inflation data

Wall Street tumbled as the S&P 500 and the Nasdaq each fell more than 1% on Tuesday after hot inflation data showed producer prices increased more than expected in November and ahead of a potential decision on faster tapering from the U.S. Federal Reserve this week.

Inflation

Reuters:

Declines were led by megacap technology stocks, with Meta Platforms, Microsoft Corp, Tesla Inc, Alphabet Inc, and Amazon.com Inc falling between 1.3% and 4.0%.

Apple Inc fell 1.6%, but stayed on track to become the world’s first $3 trillion company by market value.

Data from the Labor Department showed the producer price index (PPI) for final demand in the 12 months through November shot up 9.6%, clocking its largest gain since November 2010 and followed an 8.8% increase in October. read more

“The story for much of 2021, or certainly the last six months has been inflationary signs that have been more and more concerning,” said David Keller, chief market strategist at StockCharts.com.

Nine of the 11 major S&P 500 sector indexes fell, with financials gaining 0.5%, as investors expected a hawkish tone from the Fed at the end of its two-day meeting on Wednesday.

The U.S. central bank will likely signal a faster wind-down of asset purchases, and thus, a quicker start to interest rate hikes in order to contain the rapid rise in prices.

MacDailyNews Take: A healthy U.S. economy, consumer confidence, and consumer spending are essential to Apple, as America is Apple’s largest market, by far.

‘Tis best to get a handle on inflation, if you know how, while you still can.MacDailyNews, May 11, 2021

Inflation is repudiation. — Calvin Coolidge

When a business or an individual spends more than it makes, it goes bankrupt. When government does it, it sends you the bill. And when government does it for 40 years, the bill comes in two ways: higher taxes and inflation. Make no mistake about it, inflation is a tax and not by accident. — Ronald Reagan

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14 Comments

      1. Does anyone really need an explanation as to why FirstThen is a right-wing conservative idiot? Perhaps he was dropped on his head as a child.

        He keeps posting memes like the one above and MDN doesn’t remove them.

        Intelligent readers give him 1 star and trolls like you probably give him 5 stars.

        Does that explain things?

        1. Does your post explain things? No, not really. You called the original poster an idiot. You claimed he was dropped on his head as a child. The poster’s meme is in direct response to an article about inflation. More than a few people point to the current Administration and Congress as the source of said inflation. Most intelligent readers know that Brandon is a direct reference to Biden. To what kind of post do you think “intelligent” readers should give 5 stars? Yours?

  1. Out of control crime.
    Economy circling the bowl.
    Rampant inflation.
    Massive influx of illegal immigrants.
    Russia and China feeling empowered.
    Energy policy that crushed jobs and made us dependent for oil again.
    A racist President with a demonstrable racist past.
    A President with obvious health problems, appearing to be dementia related.
    Armed forces spending precious time pushing critical theory crap.
    Bizarre level divisive handling of the COVID pandemic.
    Vice President who appears to be a sock puppet.
    Administration spokes people who appear to have apprenticed at The Onion.

    It’s all cool. Just as long as he doesn’t send mean tweets.

    1. Says it ALL in one post. 👍🏻

      Another excuse often heard from CLUELESS Democrats/far Leftists with no solutions — at least he’s not Trump.

      Their HATE for Trump preserved and defended is RUINING the country and the stupid ones don’t realize, themselves included…

        1. You have NOTHING! Noticed you did not refute one point made by T-Mac or myself, because you cannot produce intelligent arguments. Just a hit and run insult we expect from Libtards…

  2. The price of raw materials is continuing to increase, so we can expect the downstream prices of finished goods / end product (consumer prices) to continue to increase for at least another 90 days. Yay!

  3. What a shit-show this “Mac news” site has become. Haven’t visited for months and now I know why. Looks like it was designed by a 5th grader, covered with ads without rhyme or reason and flooded with insane right wing whacko comments who are all still butt-hurt from losing the election and their Twitter fuhrer. HILARIOUS but sad.

    1. Is this also HILARIOUS?

      Out of control crime.
      Economy circling the bowl.
      Rampant inflation.
      Massive influx of illegal immigrants.
      Russia and China feeling empowered.
      Energy policy that crushed jobs and made us dependent for oil again.
      A racist President with a demonstrable racist past.
      A President with obvious health problems, appearing to be dementia related.
      Armed forces spending precious time pushing critical theory crap.
      Bizarre level divisive handling of the COVID pandemic.
      Vice President who appears to be a sock puppet.
      Administration spokes people who appear to have apprenticed at The Onion.

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