CPI

2024 - 9 - 11

CPI Rollercoaster: Inflation Takes a Dip, but Wall Street's in a Spin!

Consumer Price Index - CPI - Economic Indicators - Federal Reserve - Housing Market - Inflation - Stock Market

Inflation's at its lowest, but stocks aren't feeling the love! Join us as we untangle the CPI yarn and its wild ride effects in the market.

Inflation has taken a delightful dip, dropping to 2.5% in August, marking the lowest level since early 2021. This pleasant surprise is being celebrated by many economists, as it opens the door for widely expected rate cuts from the Federal Reserve in the coming weeks. However, it's not all sunshine and rainbows in the economy: the cooling inflation seems to be linked to a waning labor market, leaving many to ponder if this moderation is truly a 'win' or just the calm before another economic storm.

The stock market, known for its notorious mood swings, did not react favorably to the CPI news. U.S. stocks took a tumble after the inflation report stirred worries among investors. The S&P 500 futures dimmed as the specter of gradual rate cuts loomed large, prompting chatter about whether the Fed will go for a modest 0.25% cut or an adventurous 0.5% cut. While some are optimistic for more drastic cuts to combat soaring prices, this strategy could lead to a turbulent plunge in inflation that might spark further market jitters.

Interestingly, the latest CPI report showed that housing inflation is the ‘real standout’ surprise amid the mixed signals from various economic indicators. While overall inflation may be cooling, the price of shelter remains stubbornly high, causing some to scratch their heads in confusion. Does this mean it’s time to get crafty with DIY home improvements, or is it time to hunker down and wait it out? With the Federal Reserve weighing options, the debate around core inflation numbers seems to be heating up like a bowl of spicy laksa!

As we navigate through these economic curves, it’s worthy of note that the August CPI report also saw a comparatively muted rise in consumer prices of 0.2%. This less-than-stirring increase might push the Fed towards cautious cuts in interest rates. Also, did you know that the Consumer Price Index is not just a gauge of inflation but also a vital tool for governments worldwide to assess economic health and living standards? As we revel in these financial roller-coasters, understanding CPI dynamics becomes essential!

Remember, the markets may seem like a high-stakes gambling table, but by observing these trends and understanding the numbers behind them, we can better navigate our own financial decisions. So, buckle up and stay informed – after all, with inflation declining and the Fed ready to make moves, there's plenty to keep your eyes glued to the economic charts!

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Image courtesy of "Forbes"

Inflation Fell To 2.5% In August—Lowest Since Early 2021 With Fed ... (Forbes)

The reading should support the widely expected Fed rate cuts next week, but the inflation moderation came at the cost of a cooler labor market.

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Image courtesy of "Yahoo Finance"

Stocks Get Hit After CPI Data Fuel Economic Angst: Markets Wrap (Yahoo Finance)

(Bloomberg) -- Stocks got pummeled after a faster-than-anticipated inflation report fueled bets the Federal Reserve will move gradually with rate cuts, ...

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Image courtesy of "Bloomberg"

Hot US Core CPI Data Blunts Case for Jumbo Fed Rate Cut (Bloomberg)

“Some market watchers are hoping for an aggressive 0.5% rate cut at the next Fed meeting in September, but this could prompt inflation to fall too swiftly, ...

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Image courtesy of "Axios"

New CPI report shows another month of cooling inflation (Axios)

The big picture: Since the inflation shock began, the Consumer Price Index—along with a separate inflation gauge watched by the Fed—consumed economists' ...

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Image courtesy of "Barron's"

CPI Inflation Report Today: Consumer Prices Cool to 2.5% in August ... (Barron's)

Follow live coverage and analysis of the August Consumer Price Index report, released Wednesday at 8:30 a.m. Eastern time.

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Image courtesy of "CNBC"

Consumer prices rose 0.2% in August as annual inflation rate hits ... (CNBC)

The consumer price index was expected to increase 0.2% in August and 2.6% from a year ago.

Core Inflation Perks Up, Testing Fed Doves; S&P 500 Futures Slip (Investor's Business Daily)

Consumer price index data for August could mean the difference between a quarter-point and a half-point Federal Reserve rate cut next week.

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Image courtesy of "Action Forex"

August CPI: Probably a 25 bps Rate Cut Next Week - Action Forex (Action Forex)

The combination of today's CPI report, last Friday's employment report and recent communication from key Fed officials leads us to believe that the FOMC ...

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Image courtesy of "CNA"

US stocks tumble, Treasury yields dip after CPI, debate (CNA)

NEW YORK :Wall Street stocks turned sharply lower on Wednesday, and U.S. benchmark Treasury yields touched their lowest in over a year as a key inflation ...

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Image courtesy of "Yahoo Finance"

Housing inflation the 'only real standout surprise' of August CPI report (Yahoo Finance)

The latest Consumer Price Index (CPI) report released Wednesday showed that housing inflation still isn't easing.

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Image courtesy of "Barron's"

Stock Market Today: Dow, S&P 500 Fall After CPI Inflation Report ... (Barron's)

Stocks are falling Wednesday as traders digest the latest inflation data and the debate between presidential candidates Kamala Harris and Donald Trump.

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Image courtesy of "advisorperspectives.com"

US CPI to Show Another Muted Rise as Fed Debates Rate-Cut Size (advisorperspectives.com)

Forecasters expect a monthly report on US consumer prices to show another month of muted increases, possibly playing into a Federal Reserve debate over how ...

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Image courtesy of "Yahoo Finance"

Stock market today: S&P 500, Dow futures slip with key CPI inflation ... (Yahoo Finance)

Investors are looking to August's CPI reading to lift the uncertainty around the size of the Fed's first rate cut in years.

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Image courtesy of "The Wall Street Journal"

Stock Market Today: Dow, S&P 500 Slide After CPI Report Shows ... (The Wall Street Journal)

Inflation data is in focus ahead of next week's Federal Reserve meeting. Live updates on stocks, bonds and markets, including the Dow Jones Industrial ...

New CPI report shows inflation continues to ease (WWNO)

NPR's Michel Martin speaks with Lael Brainard, director of the National Economic Council, about the latest Consumer Price Index report and how it might ...

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Image courtesy of "Action Forex"

US CPI slows to 2.5% yoy, core CPI unchanged at 3.2% yoy - Action ... (Action Forex)

US CPI rose 0.2% mom in August, matched expectations. However, core CPI rose 0.3% mom, above expectation of 0.2% mom. Shelter costs jumped 0.5% mom and was ...

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Image courtesy of "FXStreet"

More losses for stocks after US CPI data (FXStreet)

It is looking like another gloomy afternoon for stock markets, with today's US inflation figure offering little comfort to investors, says Chris Beauchamp, ...

New CPI report shows inflation continues to ease (KGOU)

NPR's Michel Martin speaks with Lael Brainard, director of the National Economic Council, about the latest Consumer Price Index report and how it might ...

Auto dominates Tuesday 10 in US ABS ahead of CPI (GlobalCapital)

Surfer rides along azure blue wave. More than $5bn was priced day before August inflation data came in line with consensus. At least 10 US ABS issuers priced ...

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Image courtesy of "Forbes"

Why CPI Shouldn't Be The Only Inflation Data Investors Watch (Forbes)

All eyes are on the Federal Reserve as mass [+][-] expectations are for the start of a rate-cutting cycle next week at the September Federal Open Market ...

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Image courtesy of "advisorperspectives.com"

Consumer Price Index: Inflation Cools to 2.5% in August (advisorperspectives.com)

Inflation cooled for a fifth straight month in August, dropping to its lowest level since February 2021. According to the Bureau of Labor Statistics, ...

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Image courtesy of "CNA"

US stocks bounce back, Treasury yields steady after CPI, debate (CNA)

NEW YORK :Wall Street reversed an earlier sell-off to close higher on Wednesday, and Brent crude prices rebounded from 3-1/2 year lows as a key inflation ...

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Image courtesy of "Reuters"

US inflation trending lower, but some stickiness remains (Reuters)

U.S. consumer prices rose slightly in August, but underlying inflation showed some stickiness amid higher costs for housing and other services, ...

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Image courtesy of "MarketWatch"

The stock market was briefly unsettled by CPI report. Here's why. (MarketWatch)

August's consumer-price index came in close to expectations and reinforced traders' expectations for a regular-size, 25-basis-point rate cut from the ...

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Image courtesy of "FXStreet"

US: August core CPI not quite in line with expectations – UOB Group (FXStreet)

August CPI came in as expected, but core CPI inflation unexpectedly rose to 0.3% m/m, on higher shelter costs and pick up in core-services inflation, ...

CPI identifies three levers to boost investments in Nature-Based ... (Climate Policy Initiative)

The report was developed within the G20 Sustainable Finance Working Group and will be launched at the event “How to finance the positive bioeconomy for climate, ...

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Image courtesy of "JP Morgan"

August 2024 CPI Report: Inflation Cooled, Edging Closer to the ... (JP Morgan)

The August 2024 CPI report moderated to 2.5% year-over-year, cementing the likelihood that the Fed will begin cutting rates next week. Learn more here.

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Image courtesy of "Climate Policy Initiative"

Ana Flávia Corleto - CPI (Climate Policy Initiative)

Ana Flávia Corleto is a Legal Analyst at CPI/PUC-Rio and works in the Climate Law and Governance Program, conducting research on land use and bioeconomy.

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Image courtesy of "FXStreet"

August CPI: The good, the bad, and the uh-oh (FXStreet)

It measures price inflation, a symptom of monetary inflation. Looking at the M2 money supply, it is already going up, even before the Federal Reserve cuts rates ...

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Image courtesy of "The Hindu"

CPI leaders urge A.P. govt. to remove encroachments along ... (The Hindu)

CPI urges Andhra Pradesh to clear Budameru encroachments, seeks aid for flood victims, reports ₹6800 crore losses.

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