(Reuters) - Wall Street dipped on Thursday as indexes hovering at multi-year highs after both inflation and weekly jobless claims rose more than expected.

Iranian state television reports that two Iranian warships were due to cross the strategic Suez Canal also weighed on investors already nervous about growing civil unrest in the Middle East.

U.S. core consumer prices rose at their quickest pace in more than a year in January as the Federal Reserve's monetary policy was again in focus with signs of inflation creeping into the global economy.

"The rise in CPI wasn't that huge, but in this environment everyone is hyper-sensitive to any inflation," said T.C. Robillard Jr., senior research analyst at Signal Hill in Baltimore. "Even being a touch higher will have the inflation hawks nervous."

Markets trimmed some losses after the Philadelphia Federal Reserve said Mid-Atlantic business activity improved sharply in February.

The Dow Jones industrial average .DJI fell 27.39 points, or 0.22 percent, to 12,260.78. The Standard & Poor's 500 Index .SPX lost 2.80 points, or 0.21 percent, to 1,333.52. The Nasdaq Composite Index .IXIC dropped 2.92 points, or 0.10 percent, to 2,822.64.

The S&P 500 rose Wednesday to double its bear market low two years ago, boosted by earnings and M&A announcements. The index has risen more than 27 percent since the end of August.

Data storage equipment maker NetApp Inc (NTAP.O) forecast weaker-than-expected profit, blaming a components shortage. Its shares fell 7.2 percent to $54.34.

New U.S. claims for unemployment benefits rose last week, partially reversing the prior week's hefty decline, but the data still pointed at gradual labor market recovery.

(Additional reporting by Ryan Vlastelica; editing by Jeffrey Benkoe)

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