US stocks close lower with high producer inflation

By Ovunc Kutlu

ANKARA (AA) - US stocks closed lower Wednesday with higher-than-expected producer inflation.

The Dow Jones fell 28 points, or 0.1%, to end the day at 29,210. The S&P 500 sank 11 points, or 0.33%, to 3,577.

The Nasdaq was off 9 points, or 0.1%, to 10,417.

US annual producer inflation rose 8.5% in September, according to Labor Department figures. Although the latest number showed a slowdown from August's 8.7% increase, it was slightly higher than the market estimate of an 8.4% gain.

The VIX volatility index, also known as the fear index, increased 0.36% to 33.75. The 10-year US Treasury yield fell 1% to 3.898%.

The dollar index rose 0.1% to 113.28, hovering near its highest in 20 years, while the euro was flat at $0.9699 against the greenback.

Precious metals were mixed, with gold rising 0.5% to $1,674, but silver falling 0.5% to $19.06.

Oil prices were on the decline with weak demand worries amid recession fears. Global oil benchmark Brent crude was trading at $92.36 per barrel for a 2% loss. US benchmark West Texas Intermediate was around $87.11 -- down 2.5%.