Finance

Domestic retail sales unexpected fell by 0.6% in July, coming in well below economic forecasts that had predicted a minor expansion. While the weak spending figures could give the Federal Reserve more reason to keep interest rates steady, they also intensify fears over an economic scenario combining sluggish growth with elevated pricing pressures.

The latest Producer Price Index report revealed that wholesale inflation remained completely flat in July, matching a broader pattern of cooling consumer prices. This moderation in pipeline costs has significantly increased investor confidence that central bank officials will hold interest rates steady rather than pursue additional hikes in the near term.

Reddit shares experienced a double-digit surge following the announcement that the company will be added to the S&P 500 index next week. Conversely, Applied Materials observed a drop in its stock value despite reporting record quarterly earnings, as substantial capital expenditures impacted its free cash flow.