US stocks open lower as producer inflation rises above estimates

By Ovunc Kutlu

ISTANBUL (AA) - US stocks opened lower on Friday, as producer inflation figures showed gains above market expectations.

The Dow Jones was down 165 points, or 0.43%, to 38,607 at 9.36 a.m. EDT. The S&P 500 fell seven points, or 0.14%, to 5,022.

The Nasdaq was down five points, or 0.01% to 15,900 at the time.

US producer inflation in January rose 0.9% annually and 0.3% on a monthly basis, both figures coming above market estimates of 0.6% and 0.1%, respectively, according to the Labor Department figures released earlier.

The VIX volatility index, also known as the fear index, rose 2.4% to 14.36. The 10-year US Treasury yield gained 1.9% to 4.317%.

The dollar index increased 0.23% to 104.54, while the euro fell 0.18% to $1.0752 against the greenback.

Precious metals were mixed, with gold trimming 0.3% to $1,998 per ounce but silver rising 0.2% to $22.97.

Oil prices showed gains, with global benchmark Brent crude adding 0.2% to $83.03 per barrel and US benchmark West Texas Intermediate crude increasing 0.7% to $78.58.