Hotter-than-expected producer inflation data has put pressure on the S&P 500, which the Tidal Trust II Defiance S&P 500 Target Income ETF (SPYT) tracks. On December 12, 2024, the Producer Price Index (PPI) for 'eggs for fresh use' surged by 55.6% m/m, contributing to broader inflationary concerns. This unexpected spike in wholesale prices has dampened investor optimism for aggressive interest rate cuts in 2025, leading to a more cautious market sentiment. Additionally, a rise in jobless claims has added to the uncertainty, casting doubt on the Federal Reserve's interest rate strategy and the overall economic outlook.
The SPYT ETF is down 0.05% in pre-market hours on Friday, December 13, with a current price of $19.97 as of 6:00 AM ET.