news/GOOGL/2023.02.14/Wall Street ends mixed as inflation data supports rate worries.txt

(For a Reuters live blog on U.S., UK and European stock
markets, click or type LIVE/ in a news window.)*Marriott rises on upbeat profit outlook*Coca-Cola Co dips after quarterly report*Palantir surges on forecasting profitable yearFeb 14 (Reuters) -Wall Street stocks ended mixed on Tuesday after U.S.
consumer price data for January offered little to change
expectations about the Federal Reserve's path forward on
interest rate hikes.U.S. consumer prices accelerated as Americans continued to
be burdened by higher rental housing costs, suggesting that the
Fed will maintain a moderate rate hiking path."Inflation remains elevated, albeit it appears to be
slowing," said Terry Sandven, chief equity strategist at U.S.
Bank Wealth Management in Minneapolis. "Looking at today's price
action, I think it might be a little bit of profit-taking on the
heels of strong year-to-date performance."Money market traders are betting on at least two more 25
basis point rate hikes this year, with interest rates seen
peaking at 5.28% by July.Also adding to the investor angst were hawkish remarks by
Richmond Fed President Thomas Barkin and Dallas Fed President
Lorie Logan. Barkin said the Fed needs to prioritize quashing
inflation over risks to U.S. economic growth.Wall Street had an upbeat start to the year, lifted by
renewed interest in volatile growth stocks battered in 2022 as
the Fed raised rates aggressively to bring steep prices under
control.The rally, however, stalled last week following signs of a
tight labor market and hawkish commentary from Fed policymakers.The S&P 500 is up about 8% so far in 2023, while the Nasdaq
Composite Index has rebounded about 14%.Investors will closely watch January retail sales data on
Wednesday for hints on consumer spending amid worries of an
economic slowdown.According to preliminary data, the S&P 500 lost 1.26
points, or 0.03%, to end at 4,136.03 points, while the Nasdaq
Composite gained 65.49 points, or 0.55%, to 11,959.08.
The Dow Jones Industrial Average fell 164.41 points, or
0.48%, to 34,081.52.Shares of Boeing Co rose to their highest in over a
year after Air India unveiled a deal to buy 220 of its passenger
planes.Coca-Cola Co slipped despite a strong full-year
profit forecast.Marriott International Inc rose after the hotel
operator forecast first-quarter earnings above Wall Street
estimates as it benefited from strong travel demand.Palantir Technologies soared after the data
analytics firm forecast its first profitable year.Of the more than half of S&P 500 firms that have reported
results, nearly 69% have beaten profit expectations, as per
Refinitiv on Friday. However, analysts expect fourth-quarter
earnings to fall 2.8% from a year earlier.
(Reporting by Johann M Cherian and Sruthi Shankar in Bengaluru,
and by Noel Randewich in Oakland, California; Additional
reporting by Stephen Culp in New York; Editing by Sriraj
Kalluvila, Maju Samuel and Richard Chang)