Dow Falls 114 Points as U.S. Inflation Data Exceeds Forecasts

U.S. stocks closed slightly lower on Wednesday after inflation data came in hotter than expected, with the Dow Jones Industrial Average falling 113.52 points, or 0.21%, to 53,463.88. The S&P 500 slipped 0.02% and the Nasdaq Composite fell 0.08%. The July PCE price index rose 3.7% year-over-year, exceeding forecasts and remaining above the Fed's 2% target, prompting investor caution over monetary policy. Trading was subdued ahead of Nvidia's earnings, released after the close. The chipmaker beat expectations with Q2 revenue of $96.2 billion, up 106% year-over-year, and forecast Q3 revenue around $108 billion, excluding China data center sales.