Despite hitting fresh record highs midweek, U.S. equities lost steam by Friday as inflation indicators complicated the Federal Reserve’s path forward on interest rates.
- GLD ETF is trading near record highs. Check live prices here.
The Core Personal Consumption Expenditures price index — the Federal Reserve’s preferred measure of underlying inflation — rose 2.9% year-over-year in July, the highest reading in five months.
Just a week earlier, Fed Chair Jerome Powell hinted that easing rates might soon be appropriate. But the new data reintroduces a layer of uncertainty on that timeline, especially as inflation remains above the Fed’s 2% target.
Adding to economic headwinds, the U.S. goods trade deficit surged to $103.6 billion in July, up $18.7 billion from June and well above …