# US stocks hit record as oil falls and wholesale inflation eases

**Published:** 2026-08-14T06:03:15.082Z  
**Topic:** Inflation  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/85871a0f-8127-464b-b01c-47811361b05c

US equities reach new highs on 0.7% S&P gain, Brent drops 2.1% and PPI inflation slows to 4.7% YoY, easing rate‑cut hopes.

The S&P 500 closed at a fresh all‑time high of 7,798.99, up 0.7% on Thursday, as wholesale‑price inflation slowed to 4.7% year‑over‑year and Brent crude fell 2.1% to $87.07 a barrel【1】.

| At a glance | |
|---|---|
| S&P 500 close | 7,798.99 (+0.7%) |
| Dow Jones close | 53,839.99 (+0.1%) |
| 10‑yr Treasury yield | 4.65% (down from 4.68% prior day) |
| Brent crude price | $87.07 (‑2.1%) |

## Inflation data and market reaction  
The producer‑price index (PPI) reported a 4.7% increase YoY for the month, easing from June’s 5.5% pace and beating analysts’ expectations by a modest margin【1】. The softer reading lowered the probability that the Federal Reserve will hike rates at its September meeting to 35%, down from roughly 50% two days earlier, according to CME Group data【1】. With rate‑cut odds rising, Treasury yields slipped, the 10‑year yield falling to 4.65% from 4.68% on Wednesday and 4.72% on Monday【1】. Lower yields reduce the cost of borrowing and support equity valuations, helping the major indexes to post record closes.

## Oil price swing and sector moves  
Brent crude retreated 2.1% to $87.07 as the market digested mixed signals about the Strait of Hormuz, where recent Iranian and U.S. claims have kept supply uncertain【1】. The price swing limited inflation concerns and boosted risk‑on sentiment. Real‑estate stocks led the gains, with AvalonBay Communities up 2.3% and homebuilder D.R. Horton rising 2.8%, reflecting expectations of lower mortgage rates and more attractive REIT dividends when bond yields fall【1】. Fossil Group jumped 5.9% after beating analysts’ earnings forecasts, while Cisco Systems fell 8.4% despite a strong earnings report, as investors worried about future margin pressure and AI‑related valuation risks【1】.

## Global backdrop  
European markets opened lower, while South Korea’s Kospi surged 3.6%, driven by AI‑heavy giants Samsung Electronics and SK Hynix【1】. The divergent moves underscore the continued influence of regional geopolitical and sector‑specific factors on global equity flows.

## What to watch
- **July PPI release** – further inflation data will test whether the Fed’s rate‑pause probability stays above 30%.
- **Federal Reserve September meeting** – a rate hike would be the first in over three years and could reverse the current equity rally.
- **Brent crude around $90** – a sustained breach could reignite inflation worries and pressure bond yields.

The record equity close shows how a modest easing in wholesale inflation and a retreat in oil prices can quickly shift market expectations on monetary policy, but the outlook remains vulnerable to any resurgence in oil‑price volatility or a surprise Fed move.

## Sources
1. 朝日新聞社 — [US stocks rise to a record as oil prices drop and inflation eases](https://www.asahi.com/ajw/articles/16807482)
2. Schaeffer's Investment Research — [S&P 500, Russell 2000 Score Record Closes as Stocks Rise](https://www.schaeffersresearch.com/content/ezines/2026/08/13/s-p-500-russell-2000-score-record-closes-as-stocks-rise)
3. Associated Press News — [US stocks edge further from their records as oil prices keep swinging](https://apnews.com/article/stocks-markets-rates-iran-futures-3f3f2f2d49e4aa8744d21ecd0ce55a9c)
4. chronicleonline.com — [US stocks drift near their records as oil prices rise](https://www.chronicleonline.com/news/world/us-markets-point-to-a-mixed-open-and-oil-prices-tick-higher-over-hormuz-stalemate/article_22c9177c-438a-5a11-aad9-d76ac4fa7cb6.html)

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Cite as: TrendWatcher, "US stocks hit record as oil falls and wholesale inflation eases", https://www.trendwatcher.in/article/85871a0f-8127-464b-b01c-47811361b05c