Tag - Pfwd

The Russell 2000 (NYSE: IWM) fell today on news that U.S. inflation increased more than expected in November. The small-cap index dropped 15.53 points, or 2.02%, to 753.93. The Dow Jones Industrial Average (INDU) lost 178.11 points, or 1.32%, to 13,339.85.

On a year-to-date basis, the Russell 2000 is down 4.25%, while the Dow has gained 6.94% and the S&P 500 has advanced 3.62%.

The consumer price index increased 0.8% in November, according to the U.S. Labor Department. That’s the biggest climb in more than two years and above economists’ projected rise of 0.6%.

Prices were up in every single category, with energy and transportation costs leading the way, posting increases of 5.7% and 2.9%, respectively.

Consumer prices moved up 0.3% in October.

During the first eleven months of 2007, the consumer price index rose at an annual rate of 4.2%, compared with an increase of 2.5% for all of 2006.

The core consumer price index, which factors out the cost of food and energy, gained 0.3% in November. The forecast called for an increase of 0.2%.