PPI Exceeds Expectations, Pushing Stocks Lower and Treasury Yields Higher

U.S. stocks declined for the fourth consecutive trading day on Thursday, as the August PPI data exceeded expectations and rose to a year-over-year increase of 5.4%. The S&P 500 fell 0.58% to 7,591.70, while the Nasdaq dropped 0.65% to 26,081.72.

The 10-year U.S. Treasury yield climbed over 5 basis points to 4.849%, reaching its highest level in nearly three years. However, Apple led the way with a 3.56% gain, while Meta rose about 4%. The Windi U.S. Tech Seven Index edged up 0.11%.

The European Central Bank announced a 25-basis-point rate hike on Thursday, adding to the pressure on the broader market. Today's focus will be on the U.S. August CPI data, which is expected to determine whether rate hike expectations continue to rise or retreat.