AdvertisementAdvertisementJensen Huang, president and CEO of Nvidia, waits for a groundbreaking ceremony for an expansion of Coherent's manufacturing facility to begin on Jun 16, 2026, in Sherman, Texas. (Photo: AP/Jeffrey McWhorter)27 Aug 2026 05:10AM Bookmark Bookmark WhatsApp Telegram Facebook Twitter Email LinkedInAdd CNA as a trusted source to help Google better understand and surface our content in search results.Read a summary of this article on FAST.Get bite-sized news via a newcards interface. Give it a try.Click here to return to FAST Tap here to return to FASTFAST NEW YORK: Wall Street stocks finished lower Wednesday (Aug 26) after US inflation came in steady but elevated as markets traded cautiously ahead of earnings from Nvidia and a widely anticipated Federal Reserve speech.The S&P 500 finished a hair lower and the Dow slipped 0.2 per cent following a report showing that the personal consumption expenditures price index rose 3.7 per cent in July from a year ago, the same annual increase as in June.But Wednesday's PCE inflation data, while stable, remains close to three-year highs.The United States "still has an inflation problem," said Heather Long, chief economist at Navy Federal Credit Union."The data still gives the Federal Reserve time to wait and see," she said. "It's not getting worse, but it didn't get any better in July either."Markets in Paris and Frankfurt closed higher, though well off the session's highs as oil prices clawed back some losses late in the day. London lagged as energy heavyweights BP and Shell fell."Lower energy prices are providing a supportive environment for European markets," said Fawad Razaqzada, market analyst at FOREX.com. "The resilience of the European economy has been more impressive than many had expected."Both main crude oil contracts have fallen this week as Iran and Oman edge towards a deal to open a temporary shipping corridor in the Strait of Hormuz.But analysts have noted that the details have remained sketchy, including whether there will be a fee to access the waterway.Iran and Oman still working on Strait of Hormuz accord, says senior Iranian sourceThursday sees the start of the annual Jackson Hole symposium of central bankers and other economic policy makers, which could provide clues on US interest rate policy."Inflation is still too high for comfort, and investors will be watching to see whether Fed Chair Kevin Warsh uses Friday's Jackson Hole speech to address how policymakers plan to bring it back toward the Fed's long-term target," said eToro analyst Bret Kenwell. Investors are also awaiting Wednesday's after-hours earnings report from AI chip giant Nvidia. The company has become a key marker of the reporting season as investors use it to judge the health of the AI boom that has sent markets to record highs over the past two years.The figures come during rising concern about when the vast sums of cash being pumped into AI software and hardware will see a meaningful return, if ever."The second-quarter number itself may end up mattering less than what management says about the quarter ahead," said Axel Rudolph, a market analyst at IG."It's entirely possible for the headline print to look solid and the stock to still sell off if the third-quarter guide comes in below what's already embedded in current estimates," he added.Nvidia shares fell 1.6 per cent.Meta shares rose 1.1 per cent after the company reached a settlement to pay a coalition of US states as much as US$16.7 billion and make changes on how youths use its social media sites.Source: AFP/fsSign up for our newslettersGet our pick of top stories and thought-provoking articles in your inboxSubscribe hereGet the CNA appStay updated with notifications for breaking news and our best storiesDownload hereGet WhatsApp alertsJoin our channel for the top reads for the day on your preferred chat appJoin hereAlso worth readingContent is loading...Expand to read the full storyGet bite-sized news via a newcards interface. Give it a try.Click here to return to FAST Tap here to return to FASTFAST