Dow, Nasdaq recoil as inflation surprise revives Fed fears
U.S. stocks fell Wednesday after hotter-than-expected CPI revived concerns about Federal Reserve policy. The Dow closed down 954 points (1.9%) at 49,919, the S&P 500 fell 1.6% to 7,267, and the Nasdaq dropped 2% to 25,170. May inflation rose to 4.2% y/y and core to 2.9%, with energy and Middle East tensions cited as drivers.