Stocks Slide on Margin Worries, Inflation Data Brings Relief

Cisco shares plummeted by 6-7% after the company announced quarterly results that showed record sales of $17.3 billion, but shrinking profit margins.

The networking giant's gross margin contracted to 66.3% from 68.4% in the year-ago period, disappointing Wall Street.

Cerebras Systems stock also took a hit, plunging 15-17%, despite achieving 70% revenue growth compared to last year.

The S&P 500 reached a new intraday peak following softer inflation data, with producer prices remaining unchanged month-over-month and decelerating to 4.7% year-over-year.

Crude oil prices slid over 2% after an unexpected accumulation of 17.4 million barrels in U.S. crude stockpiles triggered a selloff.