Wall Street Wobbles as Investors Eye Inflation Data

Wall Street's main indexes experienced a downturn as investors took profits from post-election gains and anticipated U.S. inflation data. European markets also fell due to concerns over Trump’s proposed tariffs. Major indexes including the Dow Jones, S&P 500, and Nasdaq all reported losses amid investor caution.

Wall Street's major indexes took a hit on Tuesday, as investors opted to lock in profits following a post-election surge. Anticipation surrounding upcoming U.S. inflation data further contributed to market volatility. The indexes had been on an upward trajectory since the U.S. election on November 5th, buoyed by investor optimism regarding President-elect Donald Trump's policies.

However, European stock markets also suffered a setback, falling by 2% after the European Central Bank indicated that Trump's tariff policies could hinder global economic growth. Stocks that had been expected to benefit under Trump's administration, including Tesla, saw some of their gains reversed.

The Dow Jones, S&P 500, and Nasdaq all reported declines amidst expectations of inflation data that could signal the Federal Reserve's next policy moves. Russell Price, chief economist at Ameriprise Financial, noted the influence of international market declines and investor profit-taking on U.S. stocks.

(With inputs from agencies.)