Stocks were lower on Wall Street on Wednesday, with the focus entirely on consumer inflation data that could influence the Federal Reserve's next policy decision.
Futures on the Dow Jones Industrial Average and the S&P 500 both declined around 0.3%. Nasdaq 100 futures were down about 0.5%, after losing more than 1% the previous session.
The August Consumer Price Index report showed a bigger-than-expected jump in inflation last month, with headline prices rising by 0.6% month-on-month and 3.7% year-on-year. This increase is due to the recent surge in energy prices.
The data represents the last inflation data the Fed will receive before its meeting next week, and one of the most important data policymakers will consider in determining whether to keep interest rates higher for longer.
Crude and Brent prices continued to rise on Wednesday, trading near 10-month highs. This puts pressure on stocks and may hamper the Fed's efforts to ease inflation.
On the other hand, Apple was also in the spotlight after the launch of the iPhone 15 and when China reported a "security incident" with the smartphone on Wednesday. Officials have denied that China is trying to curb iPhone use in government departments and state-owned companies, after the report helped hurt Apple shares.
At the same time, the EU has launched an investigation into the subsidies China provides to its EV manufacturers, in an effort to fend off an influx of cheap imports. Shares in the European automotive sector initially rose after the announcement, but lost ground as fears of China's retaliation grew.
