4:10pm: Inflation data tempers optimism
Wall Street hit the pause button on Thursday, with the major indexes ending the day more or less where they started as investors digested hotter-than-expected wholesale inflation data.
The Dow Jones slipped 11 points to 44,911, while the S&P 500 inched up just 2 points to 6,469 — enough to log its third straight record close. The Nasdaq eased 2 points to 21,711, just shy of a fresh high, and the small-cap Russell 2000 fell 1.2% to 2,301.
A surprise jump in the Producer Price Index took some air out of the optimism that had been building all week over a hefty September rate cut. The enthusiasm had been sparked by Wednesday’s tamer consumer inflation reading, which traders took as a green light for the Fed to slash rates. Still, some policymakers are cautioning against rushing into easing.
Intel was the day’s standout, surging 7% after a Bloomberg report said the Trump administration is considering taking a stake in the chipmaker.
Investors now turn their attention to Friday’s retail sales report to see if the spending side of the economy can keep pace with hopes for rate relief.
3:30pm: Proactive news headlines
Ideal Power Inc said its first design win customer is nearing completion of prototype testing for a B-TRAN-enabled solid-state circuit breaker ahead of a planned rollout later this year.
Lancaster Resources Inc has begun desk and field work at its Lake Cargelligo gold project in New South Wales, marking the first step toward its maiden NI 43-101 Technical Report.
Arizona Gold & Silver Inc reported drilling results from its Philadelphia project in Arizona, including a 10-metre intersection of intact epithermal quartz vein within a broader mineralized zone.
Tiziana Life Sciences Ltd has enrolled and dosed the first participant in its Phase 2a trial of intranasal foralumab for Multiple System Atrophy at Brigham and Women’s Hospital in Boston.
Volato Group Inc is on track to close its planned all-stock merger with M2i Global in the fourth quarter of 2025, after reporting a second consecutive quarterly profit and reduced liabilities.
Charbone Hydrogen Corporation has completed key electrical and water supply infrastructure and begun civil construction at its Sorel-Tracy green hydrogen facility in Québec.
Candel Therapeutics Inc plans to seek US approval in late 2026 for its lead cancer drug CAN-2409 after a successful Phase 3 prostate cancer trial and FDA RMAT designation.
Protalix Biotherapeutics Inc posted higher quarterly revenue, driven by rising sales of its Fabry disease treatment Elfabrio, and reaffirmed its long-term growth outlook.
OptiBiotix Health PLC launched its SlimBiome ingredient in Hydroxycut Hunger Control across major US retailers, with marketing highlighting studies showing significant hunger reduction.
Falcon Oil & Gas Ltd and its partners in the Beetaloo project secured Native Title Holder consent to sell gas from the proposed Shenandoah South pilot project for three years.
Lumos Diagnostics Holdings Ltd partnered with PRO-spectus to advance US market access and reimbursement for its FebriDx® point-of-care diagnostic, targeting private insurance payors.
2:20pm: Stocks on the move
Ideal Power Inc (NASDAQ:IPWR) said its first design win customer is nearing completion of prototype testing for a B-TRAN-enabled solid-state circuit breaker ahead of a planned rollout later this year.
Lancaster Resources Inc (CSE:LCR, OTCQB:LANRF) has begun desk and field work at its Lake Cargelligo gold project in New South Wales, marking the first step toward its maiden NI 43-101 Technical Report.
Birkenstock Holding PLC (NYSE:BIRK) posted third-quarter earnings that beat expectations, aided by price increases and strong wholesale demand despite tariff and supply chain challenges.
Deere & Company (NYSE:DE, ETR:DCO) lowered the top end of its full-year profit forecast to $5.25 billion as it released fiscal third-quarter earnings.
Arizona Gold & Silver Inc (TSX-V:AZS, OTCQB:AZASF) reported a 10-metre intercept of intact epithermal quartz vein within a broader mineralized zone at its Philadelphia project in Arizona.
Tapestry Inc (NYSE:TPR) shares dropped nearly 17% after the company issued cautious fiscal 2026 guidance, projecting revenue of $7.2 billion.
12:53pm: PPI spike raises concerns
July’s PPI surge highlights lingering inflation pressures from tariffs, leaving the Fed’s September rate decision uncertain.
Bill Adams, chief economist at Comerica Bank, said that “tariffs are causing businesses to raise the prices they charge each other, which will show up in higher consumer prices over time,” but he added that the Fed’s September decision will likely hinge more on upcoming jobs data than on this inflation report.
Gina Bolvin, president of Bolvin Wealth Management Group, said that “producer prices rose more than expected in July, but the bigger picture remains balanced,” noting that “the 0.9% jump in PPI reflects lingering cost pressures—some driven by tariffs—but core inflation trends remain contained.”
Chris Zaccarelli, chief investment officer for Northlight Asset Management, described the PPI spike as “an unexpected inflation signal” and warned that “it is likely to unwind some of the optimism of a ‘guaranteed’ rate cut next month.” Zaccarelli added that “it will be extremely telling to see how the markets react to these numbers today,” emphasizing that market reactions will be key to gauging the resilience of the current bull market.
12:02pm: Navarro defends pharma tariffs
President Trump’s top trade adviser Peter Navarro warned that export controls by China and Russia could negatively impact the U.S. economy.
Speaking to CNBC said the majority of planned tariffs will target generic pharmaceutical products, likely under Section 232.
Navarro framed the tariffs as "tax cuts" rather than price hikes, sparking debate with CNBC’s Andrew Eisen, who argued higher costs would ultimately fall on consumers.
Navarro countered that many economists “just don’t agree” with his view and emphasized confidence in American entrepreneurs’ ability to adapt quickly.
11:03am: Signs of moderation?
US producer inflation surged to its highest level in three years in July, driven mainly by the service sector, raising concerns about potential pressures on consumer prices.
According to Felipe Barragán, Expert Research Strategist at Pepperstone, “This, together with somewhat more subdued CPI figures, suggests that companies have been absorbing much of the cost increase through margin compression. However, this trend could begin to reverse and be passed on more strongly to consumer prices.”
Meanwhile, LPL Financial’s Jeff Buchbinder highlighted that the broader inflation picture is showing signs of moderation. “The latest CPI report presented a less-than-fearsome inflation track, reinforcing expectations for a Federal Reserve (Fed) rate cut at its September meeting," Buchbinder said.
The data, combined with revised employment figures showing slower job growth and rising unemployment, points to a "cooling economic environment," Buchbinder added.
"These indicators align with the Fed’s dual mandate and suggest that further monetary tightening may no longer be necessary."
10:25am: Jobless claims slightly below forecast
Initial claims for unemployment benefits in the week ending August 9 came in at 224,000, slightly below the 225,000 expected by economists.
This marks a continuation of historically low levels of jobless claims, reflecting steady demand in the labor market.
9:47am: Dow, S&P and Nasdaq slip
US markets opened modestly lower on Thursday, with the Dow Jones down 164 points, or 0.4%, at 44,758. The S&P 500 slipped 11 points, or 0.2%, to 6,455, while the Nasdaq was flat at 21,710. The Russell 2000 led the losses, falling 27 points, or 1.2%, to 2,301.
Investors are digesting a hotter-than-expected inflation report, which is cooling enthusiasm for a potential Federal Reserve rate cut later this month. July’s Producer Price Index (PPI) rose 0.9% from June, far above the 0.2% economists had anticipated, marking a 3.3% gain year-over-year—the biggest since February. Core PPI, which excludes volatile food and energy costs, surged at the fastest pace in three years.
Raw material costs for producers climbed 1.8% in July, led by sharp increases in food and animal feed, including a 9.1% spike in raw milk prices. While that’s slower than June’s 2.6% jump, the data has shifted market expectations. CME Group’s FedWatch tool now shows a Fed rate cut is less certain, with odds for a 25-point reduction at 94.5% and a hold at 5.5%.
Notable premarket movers included Bullish, which jumped 5% following an 83% gain on its first day of trading, after shares briefly soared 215% on Wednesday from a $90 debut. JD.com (JD) edged up 0.2% despite reporting a more than 50% drop in net income, though revenue of 356.66 billion yuan ($49.73 billion) topped expectations. Deere (DE) fell 5% as sales dropped 9% year-over-year and the company narrowed its full-year profit forecast, while Cisco (CSCO) slipped 1.6% despite a modest earnings beat and strong AI-driven demand.
Meanwhile, Bitcoin edged higher to $120,807, modestly off Wednesday’s record high of $123,500. Ethereum also climbed 0.5% to $4,722, approaching its 2021 all-time high near $4,800.
In Washington, Treasury Secretary Bessent noted that August and September will be a “good test” of tariff revenue, with a chance of collecting substantially more than $300 billion, which would be enough, he said, to potentially bring the deficit ratio into the 5% range.
8:50am: July producer prices surge
US producer prices jumped more than expected in July, highlighting persistent inflationary pressures.
The Producer Price Index (PPI) rose 3.3% year-on-year, above forecasts of 2.5%, while the monthly gain came in at 0.9%, compared with an expected 0.2%.
Core PPI, which strips out volatile food and energy costs, climbed 3.7% year-on-year, exceeding the 3% estimate, and rose 0.9% month-on-month versus a projected 0.2% increase.
The stronger-than-anticipated inflation readings may intensify expectations of continued monetary tightening by the Federal Reserve.
8:01am: Wall Street pauses for breath
US stock futures were steady in early Thursday trading as investors awaited fresh inflation data.
Dow Jones, S&P 500, and Nasdaq 100 futures were practically at the flatline, after back-to-back sessions of gains that lifted benchmarks to record highs.
In premarket, the Dow was just 8 points higher, whilst the S&P was indicated up 2 points and the Nasdaq measured only a 12 point gain.
Sentiment remains underpinned by expectations the Federal Reserve will cut interest rates in September, a view strengthened after July’s Consumer Price Index matched forecasts.
Attention now turns to the Producer Price Index for July, due later today, for confirmation that pricing pressures remain contained. Weekly jobless claims are also on the calendar.
In corporate moves, Cisco Systems fell around 1% premarket after fourth-quarter results slightly topped estimates but offered an outlook in line with expectations.
Deere & Co. slid more than 7% after issuing mixed full-year guidance. Tapestry also traded lower, while Birkenstock gained after beating quarterly forecasts.
Crypto-related shares stayed in focus after exchange operator Bullish extended gains, trading over 10% higher and more than doubling its IPO price.
Bitcoin recently pulled back from record highs set Wednesday.
Today’s earnings slate features JD.com, Advance Auto Parts, Applied Materials, and Nucor.
Friday’s retail sales release will conclude a week dominated by macroeconomic data.