Posted on 09/11/2024 9:58:03 AM PDT by ChicagoConservative27
The blue chip Dow Jones Industrial Average headed toward one of its worst days of the year Wednesday, after the latest inflation reading failed to support investors’ most optimistic hopes for the Federal Reserve to boost valuations with interest rate cuts.
The Dow fell as much as 740 points, or nearly 2%, by mid morning, touching its lowest price since Aug. 14 and pacing toward its second-worst daily loss of 2024 on point and percentage bases, trailing only the Aug. 5 mini crash which wiped out nearly 3% from the index; losses moderated to a 1.3%, or 530-point, dip by 11:30 a.m. EDT.
The plunge came as investors digested the August consumer price index inflation report, which, despite disclosing the best headline inflation number since Feb. 2021, spooked financial markets, as the arguably more important core inflation metric rose slightly more than expected month-over-month.
(Excerpt) Read more at forbes.com ...
Harris screams “Joy”
Already pared 500 Dow points in the half hour since this was published.
wait until she’s elected, the market will take a big old dump
LOL...yeah, the “mixed inflation report” is tanking stocks. Sure.
Nothing to do with Harris’ vast new government spending plans that will drive inflation to the stratosphere, energy prices going up 5X and taxes on unrealized capital gains.
...my thoughts exactly.....after her performance at last evening’s debate [sic] with the very real probability that we may be calling her “Madame President” come next January, it’s no surprise that the stock markets are as nervous as a long-tailed cat in a room full of rocking chairs.... what will be, will be, as that old expression goes....
You probably should have checked the indices before you posted this. They’ve all risen significantly since the initial drop.
Huge turnaround in nasdaq due mostly to NVDA and extremely strong chip demand.
AMD is okay too but not up like nvda.
Should boost the s&p
It seems Chiquita Bananas and her two abc advisors really impressed the big money boys last night.
In the short run the market is like the scale you find in an old grocery store. When you first put something on it, the pointer goes back and forth like a pendulum quickly until it comes to a stop.
Is the author selling today?
Markets bake in future outlooks in their numbers. Inflation being a major item but the election betting odds factors in there as well.
Core Month over Month Inflation was expected to be .2%, but actually came in at .3%.
This means that traders who were optimistic there would be a .50 rate rate cut now believe that there will be only a .25 rate cut, if there is one at all since core inflation is still not where they want it to be.
The markets are anticipating an interest rate cut based on there being less inflation increased. Of course, rate cuts will spur a new round of inflation. So oh joy.
(and what the headliners never explain is when the rate of inflation goes down, it only means the rate of increase has slowed. A dozen eggs still cost $6, and will be $6.25 next month rather than $6.50. That’s what it means when inflation is “slowing”.
The dramatic jump in prices are here to stay.
>>>Harris screams “Joy”
The new Obama tired “Hope & Change”.
Yes, but Obama had a tanking Economy going for him in 208. Now, all the issues favor Trump.
Dollar cost averaging is your friend. These dips become meaningless or even beneficial. Wake me up after everyone has panic sold.
Inflation is Theft, like federal taxes.
The 2% inflation target is them telling us how much they want to steal from us, on a yearly basis.
As of right now (12:40 central) the market is basically a meh.
S&P up 0.08% and Dow down -0.38%.
We shall see what happens over the next weeks and months.
Doesn’t matter if the markets have risen since then as the point remains.....the markets to NOT like the idea of a Harris President.
And who makes up the markets? Millions of individual and professional investors.
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