Wall Street stocks were in the red early on Tuesday as market participants digested some key inflation data.
As of 1535 GMT, the Dow Jones Industrial Average was down 0.32% at 36,316.26, while the S&P 500 was 0.26% weaker at 4,689.44 and the Nasdaq Composite came out the gate 0.37% softer at 15,923.32.
The Dow opened 115.96 points lower on Tuesday, reversing gains recorded in the previous session as the blue-chip index was knocked off its record close.
Tuesday’s primary focus was news that wholesale prices in the US rose a less quickly than expected last month. According to the Department of Labor, in seasonally adjusted terms, so-called final demand prices jumped at a month-on-month pace of 0.6% in October, keeping the year-on-year rate of increase at 8.6% – as expected by the consensus. At the core level, they rose by 0.4%, a touch less than the 0.5% expected.
Also in focus, GE shares were up 5.88% on reports that the multinational will split into three companies focusing on aviation, healthcare and energy, while shares in homebuilder DR Horton were also in the green after its quarterly earnings report revealed an earnings beat that helped offset soft guidance.
Still to come, Wynn Resorts and Coinbase will report earnings after the close on Tuesday.
Elsewhere on the macro front, US small business sentiment declined in October as business owners’ feelings on future economic conditions slumped due to ongoing supply-chain and hiring woes. According to the National Federation of Independent Business, its optimism index slipped to 98.2 last month from 99.1 in September, the lowest print seen since March. Median estimates called for an increase to 99.5.
Lastly, Federal Reserve chairman Jerome Powell highlighted the central bank’s commitment to an “inclusive” economic recovery during testimony in front of the Senate banking, housing and urban affairs committee. Powell, who touted the benefits of maximum unemployment, stated that inequality could prevent the US economy from reaching its full potential.
