Producer prices rise in May but inflation concerns remain low. Core PPI eases, while CPI and jobless claims show a softening economy. Fed may cut rates by year-end.
Stocks end lower on Middle East tensions and skepticism over US-China trade deal, with most sectors declining. Economic data shows lower than expected inflation. Asia markets also down, led by losses in Japan and Australia. European stocks also lower, while oil and metal prices rise due to safe-haven demand. US futures and dollar decline.
Market veteran Lawrence McDonald has a stark warning regarding a recent GOP proposal spearheaded by Sen. Ted Cruz (R-Texas) that calls for nixing federal interest payments to banks.
Crude oil futures pulled back below the $68-a-barrel mark after jumping about 5% in the New York session on Wednesday amid escalating geopolitical tensions between the U.S. and Iran.
U.S. recession odds slipped further on Polymarket as a slew of bullish events lifted investor sentiment Wednesday. What happened: Odds in favor of the betting contract titled “US recession in 2025?” were 23% as of this writing, a considerable drop from the all-time high of 66% recorded in early May.
The CPI print came in soft, and Wall Street threw a little party. But before you start popping champagne corks, let’s get something straight: this “disinflation” doesn’t mean inflation’s gone.
