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US Equity Indexes Mixed as Hot Inflation Print Undermines Big Tech, Iran Peace Talks Remain Deadlocked

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US equity indexes traded mixed ahead of Tuesday's close as a hotter-than-expected inflation print amid soaring gas prices hit growth sectors, while the Iran stalemate continued.

The Nasdaq fell 0.9% to 26,034.2, and the S&P 500 down 0.2% to 7,396.5. Both gauges were off session lows. The Dow Jones Industrial Average rose 0.2% to 49,806.3, clawing back all declines from earlier in the day.

Technology and consumer discretionary sectors led decliners. Shares of Qualcomm (QCOM) and Intel (INTC) plunged 12% and 7.3%, respectively, the steepest slides on the S&P 500 and the Nasdaq.

The US seasonally adjusted consumer price index jumped by 3.8% in April from 3.3% in the prior month, according to data released Tuesday by the Bureau of Labor Statistics, compared with the 3.7% consensus. Core CPI, which excludes food and energy prices, climbed by 2.8% from 2.6%, versus expectations for 2.7%.

The CPI increased 0.6% in April, as expected, following a 0.9% increase in the previous month. Core CPI gained 0.4%, higher than the consensus estimate for a 0.3% increase. Core CPI rose by 0.2% in March.

US Treasury yields jumped, with the 10-year up 5.1 basis points to 4.46%, the highest since about July. The two-year rate advanced 4.7 basis points to almost 4%, the strongest since June.

West Texas Intermediate crude oil futures surged 4.5% to $102.50, and Brent crude futures increased 3.6% to $107.93 as a faltering ceasefire between the US and Iran kept the Strait of Hormuz closed, continuing the largest-ever energy supply shock.

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