Stock market today: Wall Street falls after hot inflation report burns hopes for a June rate cut
==========

U.S. stocks are sinking on worries that what seemed like a blip in the battle to bring down inflation is turning into a trend. The S&P 500 was 1.2% lower in a wipeout where nine out of 10 stocks in the index fell. The Dow Jones Industrial Average was down 514 points, or 1.3%, as of 11:45 a.m. Eastern time, and the Nasdaq composite was 1.2% lower. Treasury yields also leaped in the bond market, raising the pressure on the stock market, after a report showed inflation was hotter last month than economists expected. The fear now is that inflation may be stuck after February and March’s inflation reports all came in hotter than expected. Traders sharply cut back on bets that the Fed could begin cutting rates in June. They now see less than a 19% chance of that, down from nearly 74% a month ago, according to CME Group’s FedWatch tool. Real-estate stocks in the S&P 500 fell 4.2% for the biggest loss by far among the 11 sectors that make up the index. The hope on Wall Street is that the resilient U.S. economy could help prop up profits, even if it does diminish hopes for rate cuts.

#StockMarket #Inflation #InterestRates #FederalReserve #Economy

https://apnews.com/article/stock-markets-inflation-interest-china-7ca5eb565702bbae5d2049a18d950123