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US markets end lower amid renewed inflation concerns

31 Jan 2026 Evaluate

The US markets ended lower on Friday on renewed concerns about inflation after the Labor Department released a report showing producer prices increased by much more than expected in the month of December. The Labor Department said its producer price index for final demand climbed by 0.5 percent in December after rising by 0.2 percent in November. Besides, new tariff threats from President Donald Trump have also contributed to the negative sentiment, with the president threatening Canada with a 50 percent tariff on all aircraft sold in the U.S. over its refusal to certify certain Gulfstream jets. Trump also signed an executive order that would impose tariffs on any goods from countries that sell or provide oil to Cuba. Meanwhile, traders were also reacting to news that Trump announced his intent to nominate former Federal Reserve Governor Kevin Warsh to succeed Fed Chair Jerome Powell. 

On the sectoral front, Gold stocks turned in some of the market's worst performances on the day amid a nosedive by the price of the precious metal, with the NYSE Arca Gold Bugs Index plummeting by 12.6 percent. Semiconductor and computer hardware stocks also saw substantial weakness, contributing to the slump by the tech-heavy Nasdaq.

Dow Jones Industrial Average slipped 179.09 points or 0.36 percent to 48,892.47, Nasdaq decreased 223.30 points or 0.94 percent to 23,461.816 and S&P 500 fell 29.98 points or 0.43 percent to 6,939.03.


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