US stocks fall in early trading after inflation data

US stock indices opened lower on Wednesday, after the release of inflation data, which has contributed in lifting the US Treasury bond yields.

President of the Federal Reserve Bank of St. Louis James Bullard projected yesterday that the US inflation rate will rise above the Fed's target of 2% during 2022.

The US Treasury yields rose above 1.671% today, which weighs down on US stocks.

Data showed that the US consumer price index rose 0.8% in April, beating forecasts of a rise by 0.2%, and the core reading for the same index (excluding energy and food prices) rose by 0.9% in April, higher than forecasts of 0.3%.

As for stocks, Dow Jones fell 0.5% or 187 points to 34,081as of 14:10 GMT, Nasdaq fell 1.3% or 170 points to 13,220, and S&P 500 fell 0.7% or 30 points to 4,121.