Update: Equities Drop Intraday as Inflation Fears Mount Amid Surging Oil Prices

01:58 PM EDT, 09/10/2026 (MT Newswires) -- (Updates with latest market prices and developments.) Wall Street's main equity indexes were lower intraday as oil prices and bond yields surged amid mounting inflation pressures. The Dow Jones Industrial average was down 0.6% at 52,050.7 after midday Thursday, while the S&P 500 fell 0.5% to 7,597.9. The Nasdaq Composite shed 0.4% to 26,140.2. The indexes closed Wednesday trading in the red for the third consecutive session. Barring consumer staples and communication services, all sectors were in the red on Thursday, led by materials. US producer prices rose at the fastest pace in three months in August amid higher fuel costs, official data showed Thursday. Oxford Economics predicted further upward pressure on wholesale costs as domestic diesel prices hit fresh peaks. US benchmark West Texas Intermediate crude oil was up 6.1% at $101.91 a barrel intraday, while Brent surged 5.9% to $107.20. Iran-aligned Houthis seized control of Yemen's port city of Mocha on Thursday, military sources said, gaining further leverage over the Bab el-Mandeb Strait, the southern side of the Red Sea, Reuters reported. The Organization of the Petroleum Exporting Countries cut its global oil demand outlook for 2026 on Thursday as high energy prices are expected to weigh on consumption. US Treasury yields jumped intraday, with the two-year rate up 12.7 basis points at 4.55% and the 10-year rate rising 8.8 basis points to 4.93%. Markets are pricing in a 72% probability that the Federal Reserve will raise the benchmark lending rate by 25 basis points at next week's policy meeting, up from 61% on Wednesday, according to the CME FedWatch tool. The remaining odds point to another Fed pause. Cooper Companies (COO) shares were the worst performer on the S&P 500, down 15%. The medical device manufacturer's fiscal third-quarter results released late Wednesday showed sales missed Wall Street's estimates, overshadowing the earnings beat. It also lowered its full-year outlook. Apple (AAPL) rose 2.9%, the biggest gain on the Dow. The iPhone maker unveiled its first foldable smartphone Wednesday, entering a category currently led by Samsung. Apple is apparently prioritizing volume gains over margins with its lower-than-expected pricing on the new iPhones, Morgan Stanley said in a note. Oracle (ORCL) and Adobe (ADBE) are scheduled to release their quarterly earnings reports after markets close on Thursday. Spot gold nudged down 0.8% to $4,364.40 per troy ounce, while silver slumped 5.4% to $64.97 per ounce.