04:55 PM EST, 12/12/2024 (MT Newswires) -- US benchmark equity indexes dropped Thursday after official data showed that producer prices increased more than Wall Street's projections in November.

The Nasdaq Composite fell 0.7% to 19,902.8 after closing above 20,000 for the first time Wednesday. The Dow Jones Industrial Average and the S&P 500 declined 0.5% each to 43,914.1 and 6,051.3, respectively. Barring consumer staples, all sectors saw decreases, led by consumer discretionary and health care.

In economic news, the US producer price index increased 0.4% last month as wholesale costs of goods climbed amid a jump in the food component, the Bureau of Labor Statistics reported. Year over year, producer prices were up 3% in November, outpacing the 2.6% gain analysts were expecting.

While the headline PPI surprised to the upside, the report's details support another 25-basis-point cut in interest rates by the Federal Reserve next week, Oxford Economics said.

On Wednesday, the BLS reported that US consumer inflation accelerated in line with market estimates last month on both sequential and annual bases.

Markets widely expect the central bank's Federal Open Market Committee to deliver a quarter-percentage-point rate cut Wednesday, according to the CME FedWatch tool.

Weekly applications for unemployment insurance unexpectedly increased, while continuing claims rose more projected, the US Department of Labor said.

The US 10-year yield gained 6.3 basis points to 4.33%, while the two-year rate rose four basis points to 4.2%.

In company news, Adobe (ADBE) shares sank nearly 14%, the worst performer on the S&P 500 and the Nasdaq. Late Wednesday, the software maker's fiscal 2025 outlook fell short of market expectations, while its fourth-quarter results topped views.

Nordson ( NDSN ) was the second-worst performer on the S&P 500 Thursday, down 8.2%. The precision technology company late Wednesday issued a downbeat fiscal first-quarter outlook, while its results in the prior three-month period exceeded market projections.

Warner Bros. Discovery ( WBD ) on Thursday disclosed a new corporate structure aimed at unlocking additional shareholder value amid an "evolving media landscape." The media and entertainment giant's shares jumped 15%, the top gainer on the S&P 500 and the Nasdaq.

Boeing ( BA ) was among the best performers on the Dow, up 1.1%, after the plane maker said it will invest $1 billion to upgrade its facility in Charleston County, South Carolina.

West Texas Intermediate crude oil fell 0.3% to $70.05 a barrel Thursday.

The International Energy Agency increased its 2025 global oil demand outlook and said the market is expected to be "comfortably supplied" despite a recent decision by key oil-producing nations to extend output cuts.

On Wednesday, the Organization of the Petroleum Exporting Countries cut its 2024 and 2025 global oil demand projections for the fifth consecutive month.

Gold dropped 1.8% to $2,706.50 per troy ounce, while silver tumbled 4.2% to $31.59 per ounce.