Wall Street was pulled down by another decade-high inflation report and statements by St. Louis Federal Reserve President James Bullard, who hinted that the central bank could operate more aggressively than expected to tighten monetary conditions in the face of rising prices.
The consumer price index rose 7.5% year-on-year on Thursday, higher than predicted and the highest increase since 1982. After starting the year at 1.51%, the 10-year Treasury yield has risen above 2%.
In the most recent weekly data, first-time unemployment claims fell, continuing a recent decreasing trend in jobless claims as Omicron-related labor market pressures eased. For the week ending 5 February 2022, another 223,000 Americans filed new claims, falling short of expectations of 230000.
For the week, the Nasdaq Composite fell 327.63 points (-2.32%) to 13,791.15, the S&P 500 fell 87.11 points (-1.93%) to 4,418.64, and the Dow Jones Industrial Average dropped 370.32 points or -1.05% to 34,738.06. After the Ukrainian news, both gold and oil surged, the latter finished the week at multi-year highs.
Walt Disney stock rose 6.02 or 4.20% to 149.47 after the business posted quarterly profits that surpassed analysts’ consensus estimates. Disney’s revenue for its experiences, parks, and consumer products segment surpassed analysts’ expectations.
On Wednesday, Disney had posted fiscal first-quarter earnings exceeding analyst expectations with regard to earnings per share (EPS) and revenue. On the news, the shares increased approximately 8% in extended trade.