U.S. stocks sold off on Friday, with the S&P 500 erasing its 2025 gains, after an upbeat jobs report stoked fresh inflation fears, reinforcing bets that the Federal Reserve will be cautious in cutting interest rates this year.

U.S. stock indexes held firmer and finished mixed a day after strong reports on the economy stirred up worries that inflation and interest rates may remain higher than expected.

Wall Street wiped out its entire post-election rally this week as mounting interest-rate fears were stoked by a red-hot labor market, surging inflation expectations and escalating geopolitical tensions ahead of Donald Trump‘s return to the White House.

Wall Street's main indexes soared on Wednesday, with the benchmark S&P 500 touching a one-week high, driven by lower-than-expected December core inflation data and robust quarterly earnings from major U.

U.S. stocks tumbled, with the S&P 500 erasing its 2025 gains, after an upbeat jobs report stoked fresh inflation fears and reinforced bets that the Federal Reserve will be cautious in cutting interest rates this year.

The Labor Department said the consumer price index (CPI) increased the most in nine months as energy costs rose, although a measure of underlying inflation pressures subsided.

Wall Street's main indexes slipped as upbeat economic data stoked investor uncertainty over future monetary policy. The Labor Department reported job openings exceeded expectations, while the ISM survey showed strong service sector growth.

Wall Street is drifting and making smaller moves on Wednesday, a day after strong reports on the economy stirred up worries that inflation and interest rates may stay higher than expected.

Wall Street is drifting and making smaller moves on Wednesday, a day after strong reports on the economy stirred up worries that inflation and interest rates may stay higher than expected. The S&P 500 was edging down by 0.