Stocks drift down ahead of Powell testimony

Biden administration is making inflation worse: Mick Mulvaney

Former White House chief of staff says Democrats overpromised and under delivered on their promises to Americans on ‘Fox Business Tonight.’

U.S. stocks drifted lower in early trading as Federal Reserve Chairman Jerome Powell heads to Capitol Hill. 

The Nasdaq Composite fell 0.4%, followed by the S&P 500 and Dow Jones Industrial Average, which dropped 0.17% and 0.09%, respectively. 

TickerSecurityLastChangeChange %
I:DJIDOW JONES AVERAGES35858.42-210.45-0.58%
SP500S&P 5004653.87-16.42-0.35%
I:COMPNASDAQ COMPOSITE INDEX14951.167057+8.34+0.06%

Powell, in prepared remarks, will tell lawmakers the central bank remains committed to fighting inflation at his reconfirmation hearing, which begins at 10 am ET. Consumer and producer prices, due out Wednesday and Thursday, are expected to rise 7% and 9.8%, respectively. 

The yield on the 10-Year Treasury hovered at 1.77% a 12-month high. 

HERE'S WHERE SURGING PRICES ARE HITTING CONSUMERS THE MOST

TickerSecurityLastChangeChange %
USOUNITED STATES OIL FUND L.P.56.98+0.82+1.46%

Oil is also higher, approaching the $79-per-barrel level. 

In stocks, IBM dropped after the team at UBS slapped the stock with a sell rating. 

TickerSecurityLastChangeChange %
IBMINTERNATIONAL BUSINESS MACHINES CORP.129.70-5.30-3.93%

American Airlines shares are rising after disclosing, in an SEC filing, revenues will be better than expected. 

TickerSecurityLastChangeChange %
AALAMERICAN AIRLINES GROUP INC.18.96+0.17+0.93%

"The Company expects its fourth quarter total revenue to be down approximately 17% versus the fourth quarter of 2019, which is better than the Company’s previous guidance of down approximately 20%," the company disclosed. 

TickerSecurityLastChangeChange %
CVSCVS HEALTH CORP.106.04+1.00+0.95%
RADRITE AID CORP.13.32+0.56+4.39%
WBAWALGREENS BOOTS ALLIANCE INC.54.04+0.31+0.58%

CVS Health boosted its outlook for the full year with profit goals now forecast to be as high as $8.38 per share, above the $8 previously disclosed. Demand for COVID-19 vaccines and tests are helping drive profits. 

Grocer Albertsohn's also raising its full-year financial guidance citing a "favorable economic backdrop" as it expects to post sales of as much as $4.3 billion, above the prior $4 billion estimate. Still, executives warned that supply chain disruptions are impacting business for the next 4 to 6 weeks. 

TickerSecurityLastChangeChange %
ACIALBERTSONS COMPANIES28.63-3.32-10.39%

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