Overall Inflation Held Steady But Core index Accelerated to Five-Month High

Barry Adams
12 Aug, 2025
New York City

Benchmark indexes on Wall Street struggled to stay above the flatline after consumer price inflation steadied in July. 

The S&P 500 index edged down 0.1%, and the Nasdaq Composite decreased 0.2%, after the consumer price inflation held  steady in July. 

The consumer price index increased to an annual 2.7%, driven by retailers gradually passing on higher import duties on furniture and recreational goods. 

Higher used and new car prices and airline fares were offset by a slight decline in shelter costs and gasoline prices at pump stations. 

Core inflation, which excludes volatile food and energy prices, rose to a five-month high of 3.1% from 2.9% in the previous month.

Investors are now looking forward to the release of the producer price index on Thursday. 

Most businesses are expected to begin to pass on higher import duties to their customers starting this month, and average import duties are expected to hover above 19%. 

August's consumer price inflation is expected to shoot up above 3% as retailers pass on higher import duties, following the surge in goods price inflation.

 

U.S. Stock Movers 

Hanesbrands soared 43.9% to $6.94 after Gildan Activewear was reportedly in talks to acquire the T-shirt maker for $5 billion. 

The Financial Times first reported about the merger talks, and ticker.com could not verify the deal terms. 

Gildan Activewear declined 5.8% to $48.0. 

Circle Internet Group jumped 6.7% to $172.0 after the cryptocurrency company said revenue in the second quarter increased 53% to $658.1 million from $430 million a year ago. 

Net income from continuing operations turned to a loss of $482.1 million from a profit of $32.8 million, and diluted earnings per share was a loss of $4.48 compared to a breakeven a year ago.