Finance

The July personal consumption expenditures price index revealed that inflation remains elevated, coming in slightly hotter than economists had anticipated. In response to the sticky data, U.S. Treasury yields ticked upward, with the 10-year yield rising to roughly 4.66%. The macroeconomic signal has prompted bond traders to continue pricing in the probability of a Federal Reserve interest rate hike before the year concludes.

Shares of Meta Platforms finished roughly 1% higher following the announcement of a multi-billion dollar settlement with state attorneys general. The massive legal resolution ends a lawsuit alleging that the company's social media platforms caused harm and behavioral addiction among younger demographics. Analysts noted that the historic agreement helps to eliminate a severe regulatory and legal overhang that had been depressing investor sentiment.

Abercrombie & Fitch experienced a massive single-day surge, with its stock price skyrocketing by 35%. The retail heavyweight triggered intense buying interest after delivering a quarterly earnings report that significantly outpaced Wall Street expectations. Management compounded the positive financial momentum by raising its forward-looking sales and profit guidance for the remainder of the year.