05:06 PM EDT, 09/10/2025 (MT Newswires) -- US equity indexes were mixed at the close on Wednesday as a sharp decline in consumer discretionary shares ahead of the consumer price inflation data due Thursday partially offset tech-driven gains engineered by a surprise drop in producer price inflation.

The Nasdaq Composite was little changed at 21,886.06, after scaling a new peak of 22,000.97 earlier in the session. The S&P 500 traded 0.3% higher at 6,532.04, after touching a record 6,555.97 intraday. The Dow Jones Industrial Average declined 0.5% to 45,490.92.

The Bureau of Labor Statistics is expected to report that the consumer price index increased by 0.3% sequentially and 2.9% annually in August, according to a Bloomberg-compiled survey of economists. The consumer discretionary sector dropped 1.6% at the close on Wednesday, with much of the decline crystallizing after midday.

Meanwhile, technology closed 1.8% higher after the BLS data showed on Wednesday that the producer price index fell 0.1% in August, following a downwardly revised 0.7% increase in July. A Bloomberg-compiled survey had forecast a 0.3% gain. Annually, producer prices growth decelerated to 2.6% from 3.1%, lagging the estimate for a 3.3% increase.

Following the PPI data, markets are pricing a 92% probability the Federal Open Market Committee will lower interest rates by 25 basis points on Sept. 17, with the remaining 8% odds in favor of a 50-basis-point cut, according to the CME FedWatch Tool. This means the Fed is all set to resume its easing cycle after remaining on pause for several months.

Currently, there is a 66% probability for the Fed to cut rates by 75 basis points in aggregate between September and December, according to the FedWatch Tool.

Most US Treasury yields fell, with the 10-year down 2.7 basis points to 4.05%.

In company news, Oracle (ORCL) soared 36% at the close, the top performer on the S&P 500, after the technology giant overnight reported higher fiscal Q1 results and announced its contract backlog will likely exceed half a trillion dollars amid strong demand over the coming months.

Synopsys ( SNPS ) reset guidance in fiscal Q3 results as challenges in China and the failure to close a major contract overshadowed "good" performance in its core electronic design automation business, Deutsche Bank said in a note. Shares of Synopsys ( SNPS ) sank 36% at the close, the steepest decline on the S&P 500 and the Nasdaq.

Morgan Stanley downgraded Trade Desk's ( TTD ) shares to equal-weight from overweight while adjusting its price target to $50 from $80. Shares of Trade Desk ( TTD ) slumped 12% at the close, the second-worst performer on the S&P 500.

West Texas Intermediate crude oil futures jumped 1.8% to $63.73 a barrel.