US stocks slide as inflation jumps more than expected

Live5 updates

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  Thu, January 11, 2024 at 6:30 PM GMT+2

  Oil surges as Middle East tensions rise

  Oil futures spiked on Thursday after Iran seized an oil tanker in the gulf of Oman, fueling worries of escalating tensions between the US and Tehran.

  West Texas Intermediate (CL=F) advanced more than 3% during the morning session. Brent (BZ=F) futures also rose more than 2.5%, trading above $78 per barrel.

  Iranian military seized the tanker carrying Iraqi oil in retaliation for the confiscation of the same vessel by the US last year, according to Iranian state media.

  “The Geopolitical escalation in the Red Seas area has once again reversed the bearish futures tilt,” Dennis Kissler, senior vice president at BOK Financial, said on Thursday.

  Thursday’s price action was a change in direction from the the prior session when futures slid more than 1% following the release of weekly storage data. The Energy Information administration said US crude inventories grew by 1.34 million barrels last week.

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  Thu, January 11, 2024 at 6:03 PM GMT+2

  Bitcoin ETFs begin trading

  The long awaited trading of sport Bitcoin ETFs is underway.

  A curated list on Yahoo Finance is tracking all the action on the ETFs. Of the newly issued ETFs, BlackRock’s iShares Bitcoin ETF (IBIT) is seeing the highest volume in morning trade.

  Bitcoin (BTC-USD) was trading around $46,700 amid the ETF action.

  Below is a breakdown of the various fees attached to each ETF.
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  Thu, January 11, 2024 at 5:22 PM GMT+2

  Hotter than expected inflation not moving Fed rate cut bets

  December’s inflation report came in slightly hotter than Wall Street expected, but it’s not moving investor bets that the Fed’s first interest rate cut could come in March.

  As of early Thursday morning, markets priced in a roughly 67% chance that the Fed cuts interest rates in March, per the CME FedWatch Tool, largely unchanged from the odds a day prior.

  “I don’t think it’s enough to delay cuts,” Bank of America US economist Stephen Juneau told Yahoo Finance Live. “We’re looking for a march cut to kind of kick off the cutting cycle. This kind of keeps the door open. it definitely doesn’t slam the door shut.”

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  Thu, January 11, 2024 at 4:37 PM GMT+2

  Stocks gain despite hotter than expected inflation print

  US stocks gained on Thursday morning despite a fresh reading on December inflation that came in slightly hotter than economists had expected, raising new questions about the Federal Reserve’s path on interest rates.

  The S&P 500 (^GSPC) added about 0.2% after the benchmark ended Wednesday at its highest close since January 2022, just short of notching a new record. The Dow Jones Industrial Average (^DJI) added 0.1%, while the tech-heavy Nasdaq led the way, gaining 0.3%.

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  Thu, January 11, 2024 at 3:47 PM GMT+2

  Inflation ticks higher than expected in December

  Thursday’s highly anticipated inflation report showed that consumer prices increased slightly more than expected in November.

  A quick look at the numbers:

  • Headline CPI, month over month: 0.3% increase vs. 0.2% expected

  • Headline CPI, year over year: 3.4% vs. 3.2% expected

  • “Core” CPI, year over year: 3.9% vs. 3.8% expected

  Yahoo Finance’s Josh Schafer has all the details here.