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US stock market closes lower after high consumer inflation

US stocks closed lower Tuesday after high consumer inflation rattled markets.

The Dow Jones fell 107 points to 34,888, while the S&P 500 was down 15 to 4,369.

After hitting an all-time high on Monday, the Nasdaq lost 55 to 14,677.

The dollar index was up 0.56% to 92.78, and the VIX volatility index, known as the fear index, soared 5.9% to 17.12.

The yield on 10-year US Treasury notes increased 3.6% to 1.412%.

Despite posting a decline Monday after seven consecutive days of increase, gold was up 0.1% at $1,808 per ounce. Silver, however, was down 0.8% below the critical level of $26 to $25.98.

US consumer prices rose 5.4% in June from the same month a year ago, marking its largest 12-month increase since August 2008.

The producer price index (PPI) that will be released Wednesday will give more hints for the Federal Reserve amid rising inflation before a definite answer about an interest rate decision.

Source: Anadolu Agency