The Stock Market's Early Rally Fades as Wholesale Inflation Hits 6.5% Moz Farooque ACCA Fri, November 13, 2026 at 1:51 PM EST 1 min read NVDA -2.08% ^GSPC -0.48% ^IXIC -0.92% ^DJI +0.07% QQQ -1.24% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
U.S. stocks gave up an early lift Friday after a softer-than-expected producer price report offered only brief relief. Wholesale prices rose 0.3% in October, below the 0.4% economists expected, but annual inflation accelerated to 6.5%, its highest since November 2022. That leaves the Federal Reserve under pressure to raise rates in December, even as investors grapple with renewed weakness in technology shares.
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S&P 500 futures were up 0.37% at 8:39 a.m. ET, according to TipRanks. By 10:08 a.m., the index was down 0.7%, the Nasdaq Composite had fallen 1.1% and the Dow was off 0.2%, Reuters reported. Nvidia (NVDA) pared its premarket gains as investors assessed the fallout from co-founder Jensen Huang's resignation.
September's producer price increase was revised up to 1.4%, making October's slowdown more pronounced. Goods prices rose 0.5%, led by food and basic organic chemicals, while services prices climbed 0.2% for a fifth consecutive monthly increase. The report followed a hotter-than-expected consumer inflation reading earlier in the week. Reuters reported that markets were weighing a quarter-point December hike while leaving room for a half-point move.
The two-year Treasury yield can show whether the softer monthly reading changes expectations for the Fed's Dec. 89 meeting. November's consumer price report is due Dec. 10, a day after the decision, making the Fed's updated rate projections particularly important for judging whether another hike could follow in January.
For tech stocks, Nvidia's Nov. 17 earnings report is a separate test. Strong data center guidance could help stabilize chip shares. Weaker guidance alongside rising yields would leave the Nasdaq exposed to both lower earnings expectations and higher borrowing costs.
