US stocks close mixed as oil rebound offsets softer core PCE inflation

  • US stock indices closed mostly lower as oil prices rebounded.
  • Core PCE inflation rose 0.2% in August, below expectations.
  • S&P 500 fell 0.4% monthly, while Nasdaq 100 gained 3.2%.

US stocks ended mostly lower Wednesday as rising oil prices and elevated Treasury yields offset relief from cooler-than-expected core PCE inflation. The S&P 500 fell 0.2%, while the Dow dropped 444 points; the Nasdaq gained 0.2%. Financial stocks pressured the Dow and S&P 500, while most industrial companies also declined. Core PCE inflation rose 0.2% in August, less than expected, strengthening hopes that the Federal Reserve will refrain from raising interest rates in October. AI hyperscalers and chipmakers mostly advanced ahead of Micron's earnings after the bell, with Alphabet up 0.9%, Microsoft 0.8%, Nvidia 0.5% and Intel 3.7%; Micron finished flat. For the month, the S&P 500 fell 0.4%, the Nasdaq 100 rose 3.2% and the Dow lost 2,280 points.

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