US Shares Hit Record as Inflation Slows, Oil Falls; London Shares Retreat on Mining Outlook

The S&P 500 closed at a new all‑time high of 7,798.99, up 0.7%, after the latest Producer Price Index data showed July inflation flat month‑to‑month and a 4.7% rise year‑over‑year—down from 5.5% in June. The muted inflation reading has eased pressure on the Federal Reserve to hike rates, with economists now deeming a September rate increase unlikely.

The 30‑year U.S. Treasury auction delivered a yield of 5.216%, the highest since 2001, underscoring market caution. Despite the record, trading volumes remain subdued, with B. Riley Wealth Management’s Art Hogan noting that the market’s gains lack the enthusiasm of the past.

In Asia, South Korea’s Kospi surged 3.6% as chipmakers SK Hynix and Samsung rallied, driven by renewed interest in AI‑related stocks. The index has rebounded roughly 20% from a 40% decline that began in early August after a June record high.

London’s FTSE 100 fell 0.6% to 10,772.67. The dip followed a downgrade of Antofagasta’s production outlook, which sent mining shares lower. Oil prices slipped after uncertainty over Gulf shipments from the Strait of Hormuz, amid competing claims by the United States and Iran.

Cisco Systems, a Dow component, slid 8.4% despite reporting stronger‑than‑expected AI‑driven growth. UBS analysts suggested the decline may reflect margin concerns but described the stock as a buying opportunity.

Conversely, Netflix jumped 5.4% after Pershing Square disclosed a new stake in the streaming firm.

Key market snapshots:

• Dow Jones Industrial Average: 53,661.00 (+0.2%)

• S&P 500: 7,777.81 (+0.4%)

• Nasdaq: 26,717.92 (+0.5%)

• FTSE 100: 10,772.67 (-0.6%)

• CAC 40: 8,650.56 (-0.3%)

• DAX: 26,299.74 (-0.1%)

• Nikkei 225: 68,308.59 (+1.2%)

• Hang Seng: 25,396.51 (-0.2%)

• Shanghai Composite: 3,926.96 (-0.5%)

Currency moves: the euro rose to $1.1528, the pound fell to $1.3486, the yen weakened to 159.52, and the euro‑pound pair edged up to 85.48 pence.