Investors bet on a slower rate hikes Friday after seeing the release of tepid inflation data. But as Fred Katayama reports, the S&P and Dow posted their biggest weekly losses since March.
Wall Street broke its three-day losing streak Friday. Tech stocks led the modest rally. Tepid inflation data supported the rebound even as concerns lingered over tensions over North Korea. But the S&P 500 and Dow posted their biggest weekly loss since March In July, the Consumer Price Index edged up 0.1 percent, less than analysts expected. That points to benign inflation that could make the Federal Reserve cautious about raising rates again this year. On Wall Street, JC Penney shares sank to a record low. The retailer's quarterly loss widened, and sales at established stores fell more than expected. Snap shares dropped. Its co-founders Evan Spiegel and Bobby Murphy pledged not to sell shares of Snapchat's parent this year, but that failed to soothe investors who were upset over its quarterly results. Netflix is in talks with Disney about retaining Marvel and "Star Wars" films after the Mouse House pulls new Disney and Pixar films from Netflix starting 2019. Shares of both companies rose. A sell-off in basic resources stocks pulled European shares lower for a third straight day Friday - their worst week this year.