Wall Street equities fell as output restrictions by major oil-producing countries increased concerns about inflation.
US stocks dip: According to analysts, the Saudi Arabian and Russian announcements that pushed crude prices to multi-month highs on Tuesday will keep inflationary worries front and centre.
According to Art Hogan of B. Riley Wealth Management, “the new narrative this week really (concerns) higher energy prices, combined with the back up we’ve seen in yields,” adding that the strong currency also focuses attention on impending Federal Reserve decisions.
The Dow Jones Industrial Average was down 0.2 percent at 34,557.29 after about 15 minutes of trading.
The tech-heavy Nasdaq Composite Index also down 0.3 percent to 13,977.77, while the broad-based S&P 500 lost 0.3 percent to 4,483.52.
According to official data, the US trade imbalance grew in July due to an increase in imports. Despite signals that the US economy is slowing down, strong consumer spending has increased US trade.
After agreeing to purchase three gas utilities from Dominion Energy for $14 billion, which includes the assumption of $4.6 billion in debt, Enbridge, one of the individual companies, had a decline of 6.4 percent. Dominion decreased by 1.5%.