Stocks are lower despite the solid inflation report. Corporate earnings and concerns about the banking sector helped drag stocks down in early trading.

For economic data today, the Producer Price Index rose 0.2% in April, below expectations of 0.3%. Prices were up 2.3% YoY, down from 2.7% last month and the lowest reading since Jan 2021. Core prices were also up 0.2% for the month and 3.2% YoY.

Initial jobless claims rose to 264,000 last week, up from 242,000 prior and the highest level since November 2021. Claims were expected to be 245,000. Continuing claims were slightly higher at 1.81 million.

Treasury yields are lower, with the 2-year T yield down 8.3 basis points to 3.82%, the 5-year T yield down 8.1 basis points to 3.29%, and the 10-year T yield down 7.8 basis points to 3.36%. Shorter-term advance rates are slightly higher, while longer-term rates are lower.