By Mucahithan Avcioglu
ISTANBUL (AA) - The New York Stock Exchange closed Tuesday mostly lower after annual inflation rose more than estimated in June and US President Donald Trump announced a trade deal with Indonesia.
The Dow Jones Industrial Average was down 0.98%, or 436.36 points, to close at 44,023.29, and the S&P 500 fell 0.4%, or 24.8 points, to 6,243.76.
On the other hand, the Nasdaq composite earned 0.18%, or 37.47 points, to close at 20,677.8, led by Nvidia's gains.
Shares of Nvidia were up more than 4% after it said late Monday that it hopes to resume H20 chip sales to China after previously being banned by the US government in April, as the chip giant says the US government has assured them the necessary licenses will be granted.
Consumer inflation in the US was at 2.7% annually and 0.3% monthly in June. Annual inflation came above market forecasts.
While the food index posted an increase of 3% in June, the energy index declined 0.8% in June on a yearly basis.
Meanwhile, President Donald Trump again urged the Federal Reserve to cut interest rates, saying on social media: “Fed should cut Rates by 3 Points. Very Low Inflation. One Trillion Dollars a year would be saved!!!"
Later, Trump said that he struck a trade deal with Indonesia, including 19% tariffs, posting: "Great deal, for everybody, just made with Indonesia. I dealt directly with with (sic) their highly respected President.”
Trump added that Indonesia would also increase purchases of US products under the deal.
Jakarta committed to purchasing "$15 Billion Dollars in U.S. Energy, $4.5 Billion Dollars in American Agricultural Products, and 50 Boeing Jets," he said, adding that US exports to Indonesia would be "Tariff and Non Tariff Barrier FREE."
On the data side, the net income of JPMorgan Chase, one of the US’ largest banks, fell in the second quarter compared to the same period last year, while earnings of Wells Fargo and Citigroup saw growth.