U.S. inflation data

While the equity market may cheer another reduction in headline inflation, rising core prices suggest a bearish response.

Uncontrolled inflation is bad for the economy, thus the central bank had to intervene by boosting interest rates. “While the equity market may cheer another reduction in headline inflation, rising core prices, a weak seasonal period, rising yields and overbought conditions in the short-term suggest a bearish response. “August’s inflation reading will not deter the FED from their tightening plans as they remain committed to easing price pressures. The markets will be looking for clues as to how high the Fed could hike rates before calling it a day. The reason for that is the debate over the fact whether inflation has hit the peak or may still show a spike in the months ahead. From 8.6% in May, US inflation rose to 9.1% in June and later fell to 8.5% in July.

US equity-index futures plunged as the Labor Department's consumer price index report on Tuesday showed monthly CPI increased at an annual pace of 8.3%, ...

Fed's next Federal Open Market Committee meeting will not only let us know how much of the rate hike happens but also the pace of rate hikes possible in the ...

These are the unfortunate costs of reducing inflation. Although the Fed rate hikes are bringing down inflation levels, there’s a lot of ground to cover until it falls under 2%. Dow 30 is down by over 500 points in opening trade. US CPI data was expected to show a declining trend but the core inflation may still be a concern with economists, analysts, and stock market investors. From 8.6% in May, US inflation rose to 9.1% in June and later fell to 8.5% in July. The Consumer Price Index for All Urban Consumers (CPI-U) rose 0.1 percent in August on a seasonally adjusted basis after being unchanged in July, the U.S.

US Inflation data: अमेरिकी शेयर बाजार में पिछले 5 दिनों में लगभग 5% का उछाल देखने को मिला है.

मुद्रास्फीति के आंकड़ों में कोई भी नेगेटिव सरप्राइज या मैक्रो इकोनॉमिक फैक्टर्स में अचानक बदलाव से बाजार में गिरावट की शुरुआत हो सकती है. जुलाई को छोड़ दें तो जनवरी 2022 से अमेरिकी बाजार में गिरावट आ रही है. आने वाले महीनों में 10 साल के ट्रेजरी यील्ड में 3.6 फीसदी से ज्यादा की बढ़ोतरी होने की संभावना है.” अगस्त मुद्रास्फीति के आंकड़ों से शेयर बाजार पर होने वाले असर को देखना दिलचस्प होगा. टोरेस ने आगे कहा, “अगस्त की मुद्रास्फीति रीडिंग FED को उनकी सख्त योजनाओं से नहीं रोकेगी क्योंकि वे प्राइस प्रेशर को कम करने के लिए प्रतिबद्ध हैं. अमेरिकी मुद्रास्फीति मई में 8.6% थी, जो जून में बढ़कर 9.1% हो गई और इसके बाद जुलाई में गिरकर 8.5% हो गई. अमेरिकी मुद्रास्फीति (Inflation) से जुड़ी खबरें अभी कई महीनों तक शेयर बाजार के लिए चर्चा का विषय बनी रहेगी.

Consumer price growth keeps pressure on Federal Reserve for further big rate increase this month.

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The dollar eased further on Tuesday ahead of US inflation data that could show some signs of softening.

The euro has enjoyed a respite above parity due to hawkish noises from the European Central Bank. Headline inflation is expected to decline 0.1 per cent month-on-month. "I think the Fed will hike by 75 basis points even if it is a soft number," said Niels Christensen, chief analyst at Nordea. US inflation figures are due at 1230 GMT and the consensus is for the core consumer price index to have risen 0.3 per cent month-on-month in August, at the same pace as July. The euro rose 0.6 per cent versus the greenback to $1.0180, after hitting a nearly one-month high of $1.0198 in the previous session. The dollar index, which measures the greenback against a basket of six currencies including the euro, eased 0.4 per cent to 107.76, after falling 0.7 per cent on Monday, the largest daily decline since August 10.

The dollar jumped against the yen, euro and other currencies on Tuesday after stronger-than-expected U.S. inflation data, which suggested the Federal ...

+0.00% The pound was last down 1.2% at $1.1544. Sterling was down against the dollar as well. The euro had been gaining in recent sessions following hawkish noises from the European Central Bank. Earlier, the Japanese currency found support from comments from officials signaling the government could take steps to counter excessive yen weakness. The key thing here is that we're now looking at near-certain odds on a 75-basis-point move next week." "The data was far stronger than expected. The dollar index , which tracks the greenback against six peers, was up 1.1% at 109.39, heading back toward last week's two-decade peak of 110.79. inflation data, which suggested the Federal Reserve may need to stay aggressive in raising interest rates. yields and the dollar substantially higher.

Nevertheless, an upside surprise to inflation will easily cement market expectations of another outsized 75 basis points rate hike.

More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance. Your support through more subscriptions can help us practise the journalism to which we are committed. "Everyone is priced for 75 basis points (as a rise in U.S. Even the battered Japanese yen got a breather at 142.34 per dollar. Benchmark 10-year yields hovered at 3.3425% in European trade [US/]. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. On Tuesday morning, traders were already digesting German business confidence data that showed ongoing recession angst. "A further cooling in inflation would support the case for a step down in the pace of policy tightening to a 50 basis points rate hike at the FOMC meeting next week," said Kristina Clifton, a senior economist at CBA. [GVD/EUR]

Australian markets hit over two-week high as banks benefited from expectations of higher interest rates. The benchmark S&P/ASX 200 index gained 0.65 percent to ...

stocks closed higher for a fourth consecutive session overnight and the dollar weakened amid expectations that inflation may have peaked. The Kospi average climbed 2.74 percent to 2,449.54, with tech and battery stocks leading the surge amid growing expectations that U.S. Ukraine's military successes in the war with Russia also boosted sentiment. The dollar steadied ahead of U.S. Samsung Electronics, SK Hynix and Samsung SDI all rallied around 5 percent. The Dow rose 0.7 percent, the tech-heavy Nasdaq climbed 1.3 percent and the S&P 500 added 1.1 percent. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. The broader All Ordinaries index rose 0.63 percent to 7,253.70 after a measure of Australian consumer confidence rose for the first time in 10 months. Across the Tasman, New Zealand's benchmark S&P/NZX-50 index dropped 0.43 percent to 11,762.15. The benchmark S&P/ASX 200 index gained 0.65 percent to end at 7,009.70, its highest closing level since Aug 26 and extending gains for a fourth straight session. The Nikkei average rose 0.25 percent to 28,614.63 while the broader Topix index closed 0.32 percent higher at 1,986.57. Ramsay Health Care shares slumped 10.4 percent after a KKR-led consortium said it was unwilling to improve its US$14.5 billion cash-and-stock offer for the hospital operator.

US consumer price index (CPI) data will be released on Tuesday, with analysts expecting inflation to slow to eight%, driven mostly by falling gasoline prices.

US inflation hit a 40-year high in June, touching 9.1%. European stocks were steady at the open. The euro stabilised to $1.0143 against the dollar on Tuesday, after a surge a day earlier that saw it gain 1.4% against the US currency and 1.6% against the yen, before paring those increases in later trading. In Tokyo, stocks closed higher on Tuesday, with investors ending the session by tempering some of the gains with caution at the Nikkei's rise over recent days. Last week, the European Central Bank also adopted a policy of monetary tightening, raising its key rate by a historic 75 basis points, with analysts expecting a similar-sized increase at the next policy meeting in October. Asian stocks largely continued a global rally on Tuesday, ahead of the release of key US consumer price data that is expected to show slightly slowing inflation in the world's largest economy.

“Federal Reserve officials have made it very clear that they will not slow the pace of rate hikes until they see convincing evidence that core inflation ...

The year-on-year rate rose to 6.3% after 5.9% in July. “Today’s upward surprise in the core index seals a third consecutive 75 basis point tightening move by the FOMC next Wednesday. It will likely play an important role in skewing the policy statement verbiage and Chair Powell’s post-meeting remarks to the hawkish side of the spectrum,” said Josh Shapiro, chief U.S. Prior to the data, most economists thought that the Fed would slow the pace of rate hikes in November to a half percentage point hike, but now a larger 0.75 percentage point move is expected, according to the CME data. Investors who trade in federal funds futures markets are pricing in a 20% chance of a 100 basis point move next week, according to the CME Group’s Fed Watch tool. Read:

(RTTNews) - German stocks rose slightly on Tuesday ahead of U.S. inflation data due later in the day that could show the annual inflation rate softening to ...

The harmonized index of consumer prices climbed 8.8 percent year-on-year after an 8.5 percent increase in the prior month. That was in line with flash data published on August 30. inflation data due later in the day that could show the annual inflation rate softening to 8.1 percent in August from 8.5 percent in July.

The Dow Jones Industrial Average fell 718.06 points, or 2.22%, to 31663.28, the S&P 500 lost 103.91 points, or 2.53%, to 4006.5 and the Nasdaq Composite ...

In precious metals, gold prices fell more than 1% as the dollar jumped after an unexpected rise in monthly consumer prices that could support the case for aggressive rate hikes from the Federal Reserve.Spot gold dropped 1.1% to $1,704.50 an ounce. gold futures fell 1.37% to $1,704.50 an ounce. The Mexican peso lost 0.94% versus the U.S. Spot gold dropped 1.1% to $1,704.50 an ounce. The 2-year note last fell 10/32 in price to yield 3.7371%, from 3.571%. The 30-year bond last fell 24/32 in price to yield 3.5558%, from 3.513%. It's the old Charlie Brown analogy. This report was a negative surprise with hotter inflation," said Mona Mahajan, senior investment strategist at Edward Jones. stocks sank while Treasury yields climbed after data showed U.S. The dollar index reversed course to rally sharply and U.S. U.S. The Consumer Price Index gained 0.1% last month versus expectations for a 0.1% decline and after being unchanged in July, the Labor Department said on Tuesday.

Investors are waking up to the reality the Fed hasn't even started to bring down core inflation and a new regime for markets has arrived.

[Sign up to our weekly Opinion newsletter.](https://login.myfairfax.com.au/signup_newsletter/10146?channel_key=9ME3ACTT4ZYY1fEMfvR2EA&callback_uri=https://www.afr.com) [James Thomson](/by/james-thomson-1446yx)is a Chanticleer columnist based in Melbourne. On Monday, at the famous SALT hedge fund conference in New York, Bridgewater Associates co-chief investor Greg Jensen warned investors were overestimating the Fed’s ability to bring inflation down quickly, creating the risk of a deep, broad and lengthy recession. For example, it’s hard to see how inflation doesn’t fall without unemployment jumping and the US economy slowing down markedly. “Until the Fed can tame that beast, there is simply no room for a discussion on pivots or pauses.” And might inflation here also prove stickier than we thought? And what will it take to tame that beast? Rather, what shocked the market was heat in the economy across the board. The ASX opened with a bang too, with the benchmark ASX 200 down 2.7 per cent in morning trade. This leads to bad outcomes. Sky-high debt levels will give central banks less room to manoeuvre, BlackRock says. Every single stock in the Nasdaq 100 finished in the red. Seema Shah, chief global strategist at Principal Global Investors, says it is likely that headline inflation has peaked, as had largely been expected.

Analysts, however, say the market may not witness a sharp fall from here. Though the sentiment turned sour following the global markets, experts believe, the ...

However, a fter a steep fall, all the three major US index futures are up by about 0.3 per cent in early deal on Wednesday. Equities across Asia-Pacific region are down between 0.7 per cent and 2.7 per cent in early deal on Wednesday. Ritika Chhabra- Economist and Quant Analyst, Prabhudas Lilladher on US CPI, said: The US inflation in August rose higher at 8.3 per cent y-o-y against expectation of 8.1 per cent. The Nasdaq Composite witnessed even a bigger slide of 5.2 per cent or 632 points. Indian stock markets are likely to see a sharp fall at the opening on Wednesday. "This could be a welcome relief, as the fall could provide entry point for some, who missed out on the recent rally," said a Chennai-based market veteran.

The dollar rose as high as 144.965 yen in the Asian session, taking it close to the high of 144.99 hit a week ago, a level not seen since August 1998.

More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance. Your support through more subscriptions can help us practise the journalism to which we are committed. "Hence markets have decided that next week's Fed decision is not between 50 and 75 (basis point increase), it's now between 75 and 100." Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. dollar at this stage, which is still not seeing any signs of softness. The 10-year yields last stood at 3.4312%. that inflation had peaked and was coming down," Ray Attrill, head of currency strategy at National Australia Bank, said in a podcast. "It's very hard to bet against a strong U.S. yields after hotter-than-expected inflation boosted bets for even more aggressive monetary tightening by the Federal Reserve next week.

Spot gold was little changed at $1,726.39 per ounce by 0923 GMT. Prices hit a two-week high of $1,734.99 on Monday as the dollar fell. U.S. gold futures were ...

More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance. Traders would be on the look out for any signs of cooling as Fed Chair Jerome Powell indicated further tightening to be data dependent. [inflation data](/topic/inflation-data) that could influence the size of future Federal Reserve interest rate hikes.

Indian shares fell on Wednesday, as technology stocks declined sharply, tracking weak Asian peers after an unexpected increase in U.S. inflation stoked ...

CPI data suggests that inflation is deep-rooted and markets are even pricing in a 100 bps hike to some extent," said Narendra Solanki, fundamental research head at domestic brokerage Anand Rathi. Register now for FREE unlimited access to Reuters.com [(.NIFTYAUTO)](https://www.reuters.com/quote/.NIFTYAUTO) and the Nifty FMCG [(.NIFTYFMCG)](https://www.reuters.com/quote/.NIFTYFMCG) recovered from early losses to trade a touch higher on Wednesday. [(ABUJ.NS)](https://www.reuters.com/companies/ABUJ.NS) climbed 3.4% to a record high on plans to raise funds. [(.NSEI)](https://www.reuters.com/quote/.NSEI) was down 0.89% at 17,909.65, as of 0446 GMT while the S&P BSE Sensex [(.BSESN)](https://www.reuters.com/quote/.BSESN) slid 0.92% to 60,012.58.