Prior to the start of the last trading day of the quarter, the Dow Jones Industrial Average sharply reduced its losses on Friday morning in response to scorching inflation data from the personal consumption expenditure price index. Prior to the company’s AI Day, Tesla stock increased, while Micron Technology and Nike were the two biggest earnings movements.
Inflation Data
The personal consumption expenditure price index, the preferred inflation gauge of the Federal Reserve, increased 0.3% for the month of August, representing a 6.2% increase over the same month last year. Both figures were far hotter than anticipated. In August, personal income increased 0.3%, as predicted by Econoday.
The PCE price index tracks changes in the costs of products and services consumers buy across the entire economy in the United States.
Micron Technology (MU) and Nike (NKE) were key earnings reporters overnight.
After the memory-chip giant missed Wall Street’s already reduced sales projections for its fiscal fourth quarter and provided far more pessimistic guidance for the following quarter, Micron shares increased by more than 1%. It is also reducing plans for capital expenditures.
After the Dow Jones recently exceeded Wall Street forecasts for its first-quarter results report, Nike shares fell 12%. However, as inventory increased, gross margins shrank, and the industry behemoth in athletic gear announced it would act quickly to unload overstock items.
Leader in electric vehicles Tesla (TSLA) saw its shares rise 1% on Friday. Following today’s stock market opening, shares of IT giants Apple (AAPL) and Microsoft (MSFT) were mixed.
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