US Stock Futures Decline on Mixed August Producer Inflation Report

By EC Assets · Published 10 September 2026

U.S. stock futures extended their losses today following the release of a mixed August producer inflation report. The report showed U.S. wholesale inflation reached an annual rate of 5.4% in August. This marks an acceleration from previous months, as the annual Producer Price Index (PPI) rate stood at 4.8% in July. The rate had peaked at 5.9% in May before experiencing a retreat. Wholesale prices rose 0.4% in August, aligning with expectations. These costs increased due to higher gasoline prices. The August producer inflation report is the first of two inflation reports that will influence the Federal Reserve's decision on interest rates next week. Wholesale costs in the U.S. jumped again in August, flogged by higher gasoline prices. The 10-year Treasury yield surpassed 4.9%, reaching its highest level since 2023. This surge in yields occurs as oil prices raise inflation fears. U.S. crude oil prices surpassed $100 again, a level last seen in May. The market is bracing for a prolonged Iran war. The European Central Bank hiked interest rates to 2.5%, of higher inflation and weaker growth. The ECB raised interest rates as the Iran war fueled inflation fears. The August Consumer Price Index (CPI) report is the last inflation update the Fed will see before its policy meeting next week. In July, U.S. consumer prices showed only a mild increase. The cost of gasoline declined for a second consecutive month in July, and underlying inflation was benign. This reduced the odds of an interest rate hike in July. Nasdaq futures are sinking, and the Dow and S&P 500 aim to break a three-day losing streak ahead of inflation data. This article is intended for informational purposes only. It does not constitute investment advice.