Stocks Opened Lower after Key Inflation Data

U.S. stocks opened lower on Friday, with investors staying on the sidelines following data that showed a higher-than- expected rise in consumer prices, while a drop in crude oil prices weighed on energy shares. The Dow Jones Industrial Average lately fell 73.07 points, or 0.40%, to 18,139.41. The S&P 500 fell 9.71 points, or 0.45%, to 2,137.55. The Nasdaq Composite fell 15.29 points, or 0.29%, to 5,234.40.

U.S. consumer prices increased more than expected in August as rising rents and healthcare costs offset a drop in gasoline prices, pointing to a steady build-up of inflation that could allow the Federal Reserve to raise interest rates this year. The Labor Department said on Friday its Consumer Price Index rose 0.2 percent last month after being unchanged in July.

Oil prices were lower on Friday as traders brace for an increase in oil exports from Libya and Nigeria, and the increase in U.S oil product inventories weighs on prices. Light, sweet crude futures traded at $43.61 a barrel, down 30, or 0.7%. Brent crude fell 33 cents, or 0.7%, to $46.26 a barrel.
Intel (INTC) said it was raising its third-quarter revenue expectations. Intel now expects third-quarter revenue to be $15.6 billion, plus or minus $300 million, above its previous estimate of $14.9 billion, plus or minus $500 million.

Deutsche Bank AG said Friday it does not intend to pay $14 billion to settle civil claims with the U.S. Department of Justice for its handling of residential mortgage-backed securities and related transactions.

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