Stocks dip on hot inflation | Goldman’s Solomon on China’s crackdown | IRS sending child tax credit payments

TUE, JUL 13, 2021

EVENING BRIEF

AS OF TUE, JUL 13, 2021 • 05:15 ET

DJIA		34888.79
		-0.31%	-107.39

S&P 500		4369.21
		-0.35%	-15.42

NASDAQ		14677.65
		-0.38%	-55.59

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DOW
NAME	LAST	CHG	%CHG
AAPL	145.64	+1.14	+0.79%
MSFT	280.98	+3.66	+1.32%
JPM	155.65	-2.35	-1.49%

S&P 500
NAME	LAST	CHG	%CHG
AAPL	145.64	+1.14	+0.79%
BAC	39.86	-0.77	-1.90%
F	14.42	-0.19	-1.30%

NASDAQ
NAME	LAST	CHG	%CHG
AAPL	145.64	+1.14	+0.79%
AMD	90.26	-0.55	-0.61%
MSFT	280.98	+3.66	+1.32%

EDITOR'S NOTE

U.S. stocks posted modest losses on Tuesday after a hotter-than-expected inflation report kept a lid on any optimism sparked by a strong start to the second-quarter earnings season.

The Dow Jones Industrial Average shed 107.39 points or 0.31% from Monday's record close above 35,000. The S&P 500, which managed to hit an intraday record during the session, lost 0.35% by the closing bell, thanks to weakness in discretionary, industrials and financials stocks. The Nasdaq Composite retreated slightly from its own intraday record with a decline of nearly 0.4%.

The Labor Department's latest update to its consumer price index, a measure of how much Americans pay for goods and services including milk, cell phones and haircuts, weighed on Tuesday's trading. Strategists blamed the CPI increase, the fastest pace of price appreciation in nearly 13 years, for keeping investors wary of the Federal Reserve, which could opt to hike interest rates if it thinks inflation is too wild.

Indeed, San Francisco Fed President Mary Daly told CNBC's Steve Liesman that the time for tapering is approaching. "It is appropriate to start talking about tapering asset purchases, taking some of the accommodation that we have been providing to the economy down," she said.

Banks kicked off a solid start to the second-quarter corporate earnings season, as JPMorgan Chase and Goldman Sachs had healthy profits. Both banks reported per-share earnings well ahead of estimates as a return to normal business activity and an end to Covid-19 restrictions boosted the U.S. economy. PepsiCo gained 2.3% following its own earnings report, while aircraft maker Boeing retreated 4.2% after cutting 787 Dreamliner production.