February's PPI reading came in below expectations
Stock futures are pointed lower again, shrugging off another cooler-than-expected inflation report, as tariff concerns continue to weigh on sentiment. Dow Jones Industrial Average (DJI), S&P 500 Index (SPX), and Nasdaq-100 Index (NDX) futures are trading below fair value, as investors react to the latest producer price index (PPI) reading, new trade threats from President Donald Trump, and new jobless claims data.
The PPI was flat in February, below the 0.3% increase expected, signaling easing inflationary pressures. This follows Wednesday’s softer-than-expected consumer price index (CPI) report. However, Trump’s tariff rhetoric remains a concern, as he took to Truth Social to threaten tariffs on alcoholic imports from the European Union (EU). Elsewhere, weekly jobless claims fell to 220,000, below the expected 226,000, signaling continued labor market resilience.
Continue reading for more on today's market, including:
- Buy the dip on this media stock.
- Why this airline stock saw unusual options activity.
- Plus, AEO's post-earnings plunge; DG pops after quarterly results; and WFC upgraded.
5 Things You Need to Know Today
- The Cboe Options Exchange (CBOE) saw more than 1.9 million call contracts and nearly 1.2 million put contracts exchanged on Wednesday. The single-session equity put/call ratio rose to 0.62, while the 21-day moving average stayed at 0.60.
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American Eagle Outfitters Inc (NYSE:AEO) stock was last seen 9.3% lower before the bell after issuing disappointing guidance, forecasting a mid-single-digit sales decline for the first quarter. Analysts expected 1.3% revenue growth, per LSEG. The retailer also projects a low-single-digit full-year sales decline, missing expectations of 3% growth. However,
fourth-quarter earnings beat estimates, and revenue was in line. Coming into today, AEO was 31.3% lower in 2025.
- Dollar General Corp (NYSE:DG) stock is 7.6% higher premarket at last glance, after reporting better-than-expected fourth-quarter revenue. The discount retailer posted $10.30 billion in revenue, surpassing the $10.26 billion consensus estimate from LSEG, as budget-conscious consumers continued to drive demand. Since the start of 2025, DG is down 1.3%.
- RBC Capital Markets upgraded shares of Wells Fargo & Co (NYSE:WFC) to "outperform" from "sector perform". RBC analysts noted that a lighter regulatory environment could benefit the bank moving forward, while the recent pullback has made shares more attractive. Modestly higher in electronic trading, WFC is looking to break above its 1.9% year-to-date deficit.
- More inflation data and retail earnings reports are on tap.
European Markets Struggle After New Tariff Threats
Asian bourses struggled for direction today. Japan’s Nikkei and the South Korean Kospi were both flat. Hong Kong’s Hang Seng and China’s Shanghai Composite fell 0.6% and 0.4%, respectively.
The big story is Europe though, trending lower as the continent wrangles with the latest Trump tariff threats. The U.S. president reportedly plans to put a 200% tariff on French spirits such as champagne, a retaliatory move to the EU import tax on American whiskey. At last check, London’s FTSE 100 was 0.2% lower, the French CAC 40 was off by 0.5%, and the German DAX was down 0.9%.