Producers of metals and other raw materials were flat as traders hedged their bets on the outlook for economic growth and inflation.
New weekly jobless applications rose by 51,000 to 419,000 for the week ended July 17, in a development some economists said could be a seasonal irregularity in data.
Lumber futures rose sharply, adding to gains from Wednesday, as supply disruptions related to wildfires in the West reversed the sharp drop from May's records.
Frost in Brazil pushed Arabica coffee futures up 8.4% to $1.91 a pound, nearing their highest levels since late 2014. One strategist said traders are toggling back and forth between sectors that thrive in inflationary times such as materials and "growth" sectors like technology, based on shifting inflation expectations.
"I think we're going to continue to see this tug of war playing itself out over time," said Joe Kinahan, chief market strategist at TD Ameritrade. "You heard (Federal Reserve) Chairman Powell testify. The word 'transitory' ... I don't think anybody's ever said it as often as we have in the last few months. And we're going to continue to say it ... it doesn't solve itself overnight."
Steelmaker Cleveland-Cliffs said it shipped about 300,000 tons less steel in the second quarter than anticipated as a result of reduced shipments to the auto industry because of assembly plant shutdowns caused by supply shortages. Shares of Cleveland fell as it warned its largest furnace would be out of service for six weeks starting in September.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
07-22-21 1644ET
