Expect More Volatility: Stock Market Swings After Inflation Fuels Uncertainty Over Fed Rate Hikes

  • 📰 Forbes
  • ⏱ Reading Time:
  • 42 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 20%
  • Publisher: 53%

Business News News

Business Business Latest News,Business Business Headlines

Stocks stumbled Tuesday after data revealed inflation isn’t slowing down as quickly as economists expected.

to Labor Department data released Tuesday, gaining at a faster pace than economists forecasted and throwing a wrench into Wall Street’s hopes that the Federal Reserve would further ease its interest rate hike plans in its campaign to slow inflation.

The Dow Jones Industrial Average subsequently fell as much as 420 points, or 1.1%, before paring losses to fall just 130 points by 1:30 p.m. ET while the S&P 500 fell 0.1% and the tech-heavy Nasdaq dropped rose 0.1%. Oanda analyst Edward Moya dubbed the moves another “inflation rollercoaster” in a Tuesday note to clients, explaining “disinflation trends” allowing the Fed to slow its roll are “in danger.”

Stocks have indeed endured numerous turbulent rides upon the CPI’s monthly reading: The Dow has moved an average of 1.85% on the last 10 CPI release dates, more than double the 0.87% average movement during the 180 non-CPI trading days during the timeframe, according to aIn fact, CPI release days accounted for four of the Dow’s eight largest daily swings over the last 10 months, including the Dow’s 3.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Haven’t they heard, Janet Yellen assured us it’s temporary

😡

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 394. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Asian Stock Market: Volatility soars as US airborne threats add to US Inflation-inspired uncertaintyAsian Stock Market: Volatility soars as US airborne threats add to US Inflation-inspired uncertainty – by Sagar_Dua24 Asia China BOJ SP500 Nikkei
Source: FXStreetNews - 🏆 14. / 72 Read more »

NFT legend Punk6529: NFTs are a bad investment with 'breathtaking' volatilityCrypto thought leader Punk6529 weighs in on NFTs, calling them 'cultural objects' that mostly will not maintain long-term financial value.
Source: TheBlock__ - 🏆 464. / 53 Read more »