Dow Plunges as Inflation Data Sparks Fears of Rising Prices and Earnings Worries

The Dow Jones Industrial Average (DJIA) plunged 345 points on Tuesday, as investors reacted to the latest inflation data. The data showed prices rising at a faster-than-expected rate, raising concerns about a possible rise in interest rates.

The data also sent shopify shares tumbling after the company reported disappointing earnings. The company reported a loss of $0.14 per share, which was well below analysts’ expectations.

Treasury yields rose in response to the inflation data, as investors weighed the potential impact of rising prices on the Federal Reserve’s monetary policy. Meanwhile, a key wholesale inflation report showed that prices were rising, but at a slower rate than expected.

The data sparked concerns about a possible rise in inflation, and raised questions about the Fed’s ability to keep interest rates low. Fed officials have indicated they are monitoring inflation closely, and could take action if prices continue to rise.

Overall, the market reacted negatively to the news, with investors concerned about the potential impact of higher prices on the economy. The Dow Jones Industrial Average closed down 345 points, while the S&P 500 and Nasdaq Composite both closed lower.