CPI

Inflation did not ease as expected in August, with an 8.3 percent rise in the Consumer Price Index showing that the squeeze on consumers remains acute.

The global economy is slowing sharply, and threats remain to the American recovery if European sanctions force millions of barrels of Russian oil off the global market in the months to come. The National Federation of Independent Business reported on Tuesday that its Small Business Optimism Index rose in August as inflation anxiety eased, continuing a rebound from its depths earlier this year. [have](https://www.nytimes.com/2022/06/10/business/economy/may-2022-cpi-inflation.html) [repeatedly](https://www.nytimes.com/live/2022/07/13/business/cpi-report-inflation) [predicted](https://www.nytimes.com/2022/02/10/business/economy/inflation-cpi-january-2022.html)that inflation was about to decelerate only to have those expectations scuppered. Biden and his party, as Democrats seek to retain control of the House and Senate. Biden has claimed progress in the fight against inflation, including with the signing last month of an energy, health care and tax bill that Democrats called the Inflation Reduction Act. “And then of course all of this is further exacerbated by what’s going on with the war in the Ukraine.” That could be poised to continue, because those prices are closely linked to wages, which have been climbing notably as a result of a strong job market with low unemployment and worker shortages that span many fields. Last Thursday, India also [banned exports](https://www.wsj.com/articles/indias-rice-export-ban-will-further-strain-global-food-supplies-11662722548) of one kind of rice and put a tax on others, in an effort to shore up supplies and fight domestic inflation. After peaking at $5.02 in June, gasoline prices have dropped for 91 straight days, and the national average stood at just over $3.70 a gallon on Tuesday, data from AAA show. A bout of bird flu earlier this year made chickens and eggs scarce, driving up the prices of both. Stock prices swooned as Wall Street digested the possibility that the Fed might need to be even more aggressive in constraining the economy in order to wrangle an inflation problem that is worse than anything America has faced since the 1980s. Food prices in August were up 11.4 percent from the same month a year ago.

Why it matters: 12 states and Washington, D.C. adjust their minimum wages based on inflation — a move that was of less consequence when inflation was minimal.

Council](https://www.washingtonpost.com/local/dc-politics/its-official-dc-council-has-repealed-initiative-77/2018/10/16/0532341a-d0b5-11e8-b2d2-f397227b43f0_story.html). [Twitter in the political and business world spotlights](/2022/09/13/twitter-shareholders-vote-musk-zatko-whistleblower-testifies) Later Tuesday morning, we'll learn what inflation looked like in August when the CPI numbers are released. [Economic Policy Institute's blog](https://www.epi.org/blog/tying-minimum-wage-increases-to-inflation-as-12-states-do-will-lift-up-low-wage-workers-and-their-families-across-the-country/?utm_source=Economic+Policy+Institute&utm_campaign=18b4eb20c7-EMAIL_CAMPAIGN_2022_08_31_COPY_01&)on the topic. [D.C.'s Initiative 82 spurs another battle over tips](https://www.axios.com/local/washington-dc/2022/09/12/initiative-82-dc-restaurant-tips) The states that adjust to today's numbers are Arizona, which has a current minimum wage of $12.80; Maine, ($12.75); Montana, ($9.20), Ohio, ($9.30), and South Dakota ($9.95)

The US Bureau of Labor Statistics reported this Tuesday that inflation, as measured by the Consumer Price Index (CPI), decelerated to 8.3% on a yearly.

Gold extended its slide and dropped below $1,700 for the first time in a week on Tuesday. GBP/USD suffered large losses and dropped below 1.1550 in the early American session on Tuesday. EUR/USD came under heavy bearish pressure and lost more than 100 pips following the US inflation report, which showed a stronger-than-expected increase in Core CPI in August. By the close Apple reached $163.43. The author makes no representations as to the accuracy, completeness, or suitability of this information. The author has not received compensation for writing this article, other than from FXStreet. The author will not be held responsible for information that is found at the end of links posted on this page. [Read more](https://www.fxstreet.com/cryptocurrencies/news/can-apecoin-price-squeeze-to-6-after-an-explosive-start-202209130452) [AAPL soars on iPhone 14 sales](https://www.fxstreet.com/news/apple-stock-news-and-forecast-aapl-soars-on-iphone-14-sales-202209131147) It also does not guarantee that this information is of a timely nature. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. The reading was slightly above consensus estimates pointing to a decline to 8.1%. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Monthly U.S consumer prices unexpectedly rose in August as declining gasoline prices were offset by gains in the costs of rent and food, giving cover for ...

This is going to put the idea of transitory inflation to bed for now and anchor U.S. “It takes a long time to introduce inflation into the economy and it takes a long time for it to slow down. The key thing here is that we're now looking at near-certain odds on a 75 basis point move next week, but also potentially a 50 basis point or higher move in November." However, the real story is the fact that the core rate is continuing to rise and which now makes another 75bps hike being delivered by the FOMC this month look like a certainty. This implies the Fed will remain in tightening mode for longer and suggesting interest rates still have some way to go before they reach the terminal rate." That just shows that it is not which means that the Fed is going to remain aggressive for longer. People were expecting inflation to peak and read into that reversal and interest rates next year, which we think is just absolutely naive to think that's going to be the case. “Crude prices started to come down and people took that in recent weeks as a hint that inflation was slowing. “This suggests an aggressive move by the Fed is on the horizon. Inflation was supposed to show a cooler print, PPI tomorrow is now potentially going to be hotter too, that just suggests that it is not responding as quickly to the Fed action as everyone said it would and was supposedly happening. “I’m not surprised, I’ve been saying all along it is going to be hot, so 75 (basis points) is now locked and loaded, there is absolutely no discussion about that. “The good news is "peak narrative" holds as July was the highest print.

August inflation data arrives little over a week before Federal Reserve decides rate increase.

The Fed is performing a "delicate balancing act," said Scott Schuh, an economics professor at the University of West Virginia. But other indicators suggest the U.S. Prices rose broadly outside of the energy sector. In August, the median of consumer responses showed that they expect inflation to fall to 5.7% in one year and 2.8% in three years, a New York Federal Reserve survey into an economic downturn and putting millions out of work. The national average price for a gallon of gas stood at $3.72 on Monday, having fallen well below a peak of $5.01 in mid-June, according to But the approach risks tipping the U.S. U.S. The Fed has instituted a series of aggressive interest rate hikes in recent months as it tries to slash price increases by slowing the economy and choking off demand. On a monthly basis, the consumer price index rose 0.1% in August, inching upward from the flat month-to-month movement in July, according to the Bureau of Labor Statistics. Measures of the consumer prices for shelter, new vehicles and apparel all rose at a faster rate in August than they had over the month prior. The consumer price index, or CPI, rose 8.3% over the past year in August, a slight slowdown from 8.5% in July, according to the bureau.

US inflation was firmer than expected in August, likely keeping the Federal Reserve on track for a third-straight 75 basis-point interest-rate hike.

August CPI inflation was 8.3% versus 8.1% expectations. That sent stocks lower with the rising possibility of an additional 75-point Fed rate hike.

The contract rose 99 cents to $87.78 on Monday. On Monday, the S&P 500 index rose 1.1%. It gained $1.16 the previous session to $94. Stock markets in Europe swung from gains to losses after the report. Surveys show traders expect the Fed to raise rates this month for the fifth time this year and by 0.75 percentage points, three times its usual margin. crude fell 41 cents to $87.37 per barrel in electronic trading on the New York Mercantile Exchange. The Labor Department reported Tuesday that sharply lower prices for gas and cheaper used cars slowed U.S. Brent crude, the price basis for international oil trading, lost 50 cents to $93.50 per barrel in London. The S&P 500 sank 2.1% in early trading, after rising for four straight days. Bond prices also fell sharply, sending their yields higher, after a report showed inflation came in at 8.3% in August, instead of the 8.1% economists expected. After that, the U.S. The yield on the 10-year Treasury rose to 3.44%.

U.S. stocks dropped sharply Tuesday after an unexpected monthly rise in the August consumer-price index dashed hopes for a further slowdown in inflation and ...

[SPY, -3.21%](/investing/fund/SPY?mod=MW_story_quote)and the SPDR Dow Jones Industrial Average Trust ETF [DIA,](/investing/fund/DIA?mod=MW_story_quote)were down sharply in line with their benchmarks. [rose 0.1% in August](https://www.marketwatch.com/story/coming-up-consumer-price-index-for-august-11663070838?mod=article_inline), though the year-over-year rate slowed to 8.3% from 8.5% in July. The tech-concentrated Nasdaq-100 -2.80% [NDX,](/investing/index/NDX?mod=MW_story_quote)and the Invesco QQQ Trust ETF -4.31% [QQQ,](/investing/fund/QQQ?mod=MW_story_quote)were down 4%. “Misses on both headline and core are disappointing as this bout of inflation proves to be anything but ‘transitory.’ Price gains were pervasive, with more than 70% of the CPI basket rising by at least a 4% annualized rate. Treasury yields jumped, with the rate on the policy-sensitive 2-year note However, the core rate, which strips out volatile food and energy prices, rose 0.6%, for a year-over-year rise of 6.3%, outstripping expectations for a 0.3% monthly rise and a 6% year-over-year pace. economist at High Frequency Economics, in a note. “Overall, inflation readings remain unacceptably high for policy makers. [RENT,](/investing/stock/RENT?mod=MW_story_quote)on Monday announced -31.44% [plans to slash corporate staff](https://www.marketwatch.com/story/rent-the-runway-to-lay-off-staff-while-reducing-sales-forecast-stock-plunges-more-than-20-11663015713?mod=home-page&mod=article_inline)after summer-season demand wobbled. [PTON,](/investing/stock/PTON?mod=MW_story_quote)said late Monday that it has -12.40% [accepted the resignations](https://www.marketwatch.com/story/peloton-co-founders-john-foley-hisao-kushi-step-down-in-latest-leadership-shakeup-11663018584?mod=home-page&mod=article_inline)of co-founders John Foley and Hisao Kushi, the latest leadership shake-up to hit the troubled interactive fitness company. [COMP,](/investing/index/COMP?mod=MW_story_quote)tumbled 476 points, or 3.9%, to 11,791. [DJIA,](/investing/index/DJIA?mod=MW_story_quote)dropped 847 points, or 2.6%, to 31,534.

Repeated hawkish remarks from several Fed officials last week, including Fed Chair Jerome Powell and FOMC members Charles Evans, Christopher Waller and Esther ...

Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. There’s a bit of optimism in the air that the EU’s plan to introduce price caps for Russian gas will help bring inflation under control in the eurozone, which is helping to lift the EUR/USD and European indices. Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. All opinions and information contained in this report are subject to change without notice. Many analysts agree that the Fed’s stance should continue to offer a supportive environment to the dollar. He was again super hawkish last week and there was nothing in his latest speech to suggest a shift from the current hawkish stance. In addition, there are hopes that the sharp rate increases from the Fed may already have dampened demand, causing US inflation to weaken. The US dollar has continued to retreat, with the greenback now down for the fifth consecutive against a basket of foreign currencies. Analysts expect CPI to have eased further in August, to 8.1%, although core CPI is seen accelerating to 6.0% from 5.9% previously. But it is all about the next and subsequent meetings and how the Fed is going to tackle inflation.

The August CPI inflation rate fell but core inflation reaccelerated, locking in a big Fed rate hike and dealing a blow to the Dow Jones.

Prices for transportation rose 0.5% on the month and 11.3% from a year ago. Core goods prices rose 0.5% on the month and 7.1% from a year ago, a tick up from July's 7% increase. But inflation has been too high for too long, so there's increased risk that households will begin to expect higher inflation in the future. Core prices are again the focus, which is a return to normal. Inflation in nonenergy services prices, which affects 56% of consumer budgets, has yet to subside, rising 0.6% on the month and 6.1% from a year ago, vs 5.5% in July. Prices for used cars and trucks fell 0.1% on the month. Even worse for the Dow Jones and broader stock market, Wall Street is now pricing in a rise in the Fed's key rate to a range of 4%-4.25% by the end of 2022. The annual core inflation rate rose to 6.3% from 5.9% in July. The 10-year Treasury yield, which closed near a 3-month high of 3.36% on Monday, rose 7 basis points to 3.43%. The core CPI rose 0.6% from July. The CPI inflation rate eased to 8.3%, retreating from July's 8.5% and June's 9.1% rate, amid falling gas prices. The CPI inflation rate continued to pull back from a 40-year peak in August, but less than expected.

At 8:30 a.m., the Bureau of Labor Statistics will release the August report on the Consumer Price Index (CPI). There is good reason to expect top-line ...

The top-line will be driven by the 13 percent decline in gasoline prices and 7 percent decline in oil prices. The Fed will be making real progress on inflation when shelter price inflation starts moving downward in a significant and sustained manner, and not before. The same will be true today in the August numbers.

Inflation saw a 0.1% for August according to the CPI report, but this was almost entirely due to gasoline prices, other prices rose more than the Fed wanted ...

So markets believe that today’s report has made the Fed slightly more nervous about where inflation is trending. inflation may be trending in the right overall direction, but it’s not getting there fast enough for the Fed. The Fed wants to see a broad range of prices signal that the wave of inflation is past, that’s not a conclusion that’s easy to draw from this CPI report. So today’s inflation report despite the low month-on-month number is not good news for markets. Even though food costs rose 0.8% for the month, which is high, that’s still the lowest level of food price inflation that we’ve seen in many months. Still the CPI report was not entirely negative.

(Bloomberg) -- Rates traders are now betting that the Federal Reserve will lift its benchmark rate by at least three-quarters of a percentage point next ...

Traders are once again pricing in the prospect that the Fed will need to slash its benchmark rate by half a percentage point from its anticipated peak before the year 2023 is over. “The idea that inflation had peaked has been dispelled, and now the likelihood of that soft landing for the economy has only decreased. Yields on 30-year bonds rose about six basis points to 3.57%, a level last seen in 2014, and were trading below the rates offered by five-year notes. “There is no question the market is wrong-footed here,” said Gregory Faranello, head of US rates trading and strategy at AmeriVet Securities. Swaps linked to Fed meeting dates suggest that the benchmark will be back down to less than 3.8% by the end of that year. In the meantime, the overnight index swap contract for September 2022 at one stage rose as high as 3.13% on Tuesday, some 80 basis points more than the current effective fed funds rate, suggesting that a minimum 75-basis-points of tightening is seen as a lock for next week.

U.S. stocks nosedived Tuesday after a surprising inflation report showed prices rose more than expected last month.

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At midday, the Dow Jones Industrial Average had dropped almost 900 points, down by 2.7% to 31497, the S&P 500 was down by 3.1% at 3983,...

A 75- basis point hike this month, will be the third such increase this year as rate setters seek to tame inflation which, as things stand, remains around 40-year highs. The inflation data is due out at 8.30am ET. The Fed is almost fully expected to raise the rates by another 75 basis points at next week’s FOMC (Federal Open Market Committee) meeting. What will happen after is, however, up to the data,” she said. These increases were mostly offset by a 10.6% decline in the gasoline index,” the Bureau said. “Importantly for financial markets (and the Fed), surveys of consumers’ inflation expectations are coming down from highs in line with peaking actual inflation,” he said. These expectations are likely to shore up stock prices for now. Market expectations point to a slowing inflation rate, with the headline figure seen easing steadily to 8.1% in August from 8.5% in July and the peak of 9.1% in June. US stocks were expected to continue their recent rally at the start on Tuesday ahead of crucial inflation data for August which is predicted to show that price pressures in the world’s biggest economy may have already peaked. US stocks plunged ahead of the open on Tuesday after new data from the US Bureau of Labor Statistics show inflation increased more than expected in August, likely locking in a 75 basis point interest rate hike from the Fed later in the month. US stocks opened firmly in the red after the release of hotter-than-expected inflation data for August which is expected to have locked in a 75 basis point interest rate hike by the Fed over a more moderate 50 basis point increase later this month. US indices were in the red at midday, as investor sentiment soured over the US Federal Reserve's plan to increase interest rates until it is clear inflation is on a downward path.

U.S. stocks plunged and Treasury yields spiked higher after hotter-than-expected inflation data fuelled bets for a jumbo rate hike by the Federal Reserve ...

The rally in crude oil stalled as the dollar’s ascent offset global demand concerns. “In fact, 70 per cent of the CPI basket is seeing an annualized price rise of more than 4 per cent month-on-month. The Stoxx Europe 600 index reversed an advance, with real estate and retail shares leading the decline. said a soft landing is becoming the more likely scenario for the global economy, but Bank of America Corp.’s latest survey showed the number of investors expecting a recession has reached the highest since May 2020. That being said, inflation is still far-above the Fed’s target.” The latest inflation data came amid debate about the outlook for the global economy and how that will affect markets. From a year earlier, prices climbed 8.3 per cent, a slight deceleration but still more than the median estimate of 8.1 per cent. “The CPI report was an unequivocal negative for equity markets,” wrote Matt Peron, director of research at Janus Henderson Investors. “Although today’s announcement shows that inflation remains historically high, there may be signs that the pressure of inflation is abating,” said Richard Flynn, managing director of Charles Schwab U.K. “That CPI number is very strong relative to consensus and will not be what the Fed wanted to see at all. Swaps traders are now pricing in a rate increase of three-quarters of a percentage point. The S&P 500 fell sharply in early trading, snapping a four-day rally, and the tech-heavy Nasdaq 100 sank more than 3 per cent as yield-sensitive stocks bore brunt of selling.

Stocks started Tuesday sharply lower, after fresh data showed August U.S. inflation growth broadly lower than in July, though higher than economists had ...

Read more about the CPI data here.\n\nThe S&P 500 opened down 2.1%. The Nasdaq Composite was down 2.7%. The Dow industrials were off 1.6%, or more than 500 points.

It's becoming a game of Whac-A-Mole for the Federal Reserve to keep consumer prices from shooting up. That might mean an aggressive-for-longer stance on ...

CoinDesk is an independent operating subsidiary of [Digital Currency Group](https://dcg.co/), which invests in [cryptocurrencies](https://dcg.co/#digital-assets-portfolio) and blockchain [startups](https://dcg.co/portfolio/). Futures trading in federal funds now reflects a minor probability of the Fed raising rates by 100 basis points next week and suggests the rate-hike cycle peaking at 4.25% in March 2023. Ahead of the data, interest-rate traders expected the Fed to hike borrowing costs by 75 basis points (0.75 percentage point) at the U.S. The U.S. Prices for risky assets tumbled after the CPI release, with bitcoin falling from $22,700 to nearly $21,000. The market now has to bear that adjustment." Consumer Price Index](https://in.investing.com/economic-calendar/cpi-733), which showed the 12-month inflation rate slowed to 8.3% in August from 8.5% the prior month – a tiny decrease that is likely to keep investors worried about sticky price pressures. [strict set of editorial policies](/ethics/). The CPI report had been expected to slow to 8.1%. The Federal Reserve’s target for inflation is 2% annually. [Turek tweeted](https://twitter.com/jturek18/status/1569683544661704706) after the CPI release: "I think the pricing assumption now has to be 75, 75, 50, 25. The path forward for risk assets, including cryptocurrencies, may have become more challenging.

Investors, analyst and economists alike received a harsh reality check on Tuesday as inflation for the month of August topped expectations and sent US ...

The S&P 500 Index slumped as much as 2.7%, putting it on track to snap its longest winning streak in more than two months, while the tech-heavy Nasdaq 100 Index sank 3.6%. Stocks had rallied in recent days as economists anticipated Labor Department data would show another sizable deceleration in US consumer price growth. Investors, analyst and economists alike received a harsh reality check on Tuesday as inflation for the month of August topped expectations and sent US stocks tumbling by the most more than two weeks.

Bitcoin falls by 7.5% amid a wider sell-off in the crypto market after the August CPI data came in higher than expected.

Break 19k, and it goes to the main target of 14k-16k for the last low.— il Capo Of Crypto (@CryptoCapo_) Sign up here!](https://www.kitco.com/services/e-mail-lists-signup.html) [(Kitco News)](/) - The cryptocurrency market faced significant downward pressure following Tuesday’s higher-than-expected Consumer Price Index (CPI) print, which came in at an annual increase of 8.3% after 8.1% was expected. Current pivot is 21k. [ETH](https://www.kitco.com/price/ethereum)), which had rallied to start the week in anticipation of its upcoming Merge, saw its price plummet 9.42% from its daily high of $1,760 to a low of $1,592 before support arrived to stem the outflow and bid it back above $1,600. [Editor's Note: With so much market volatility, stay on top of daily news! [BTC](https://www.kitco.com/price/bitcoin)) traders were bullish in the early hours on Tuesday, which resulted in the price of BTC rising to resistance at $22,800 before the CPI announcement sparked a 7.5% sell-off in price that resulted in the top crypto hitting a low of $21,080.

U.S. stocks fell sharply at the market open after August inflation data came in hotter than expected.

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It takes time for falling prices to feed into the consumer price index. Will that time be October?

The BLS view of the economy is likely to catch up to reality in the next few reports, which should show that US inflation is really starting to cool. The car market’s slowdown is likely to show up in future reports. The bureau’s next CPI report is due on Oct. Prices rose by 0.1% last month, according to the Bureau of Labor Statistics (BLS), whereas economists had expected inflation to fall by 0.1%. Economists had based their forecasts on declining prices for gas, used cars, and retail goods, which have shown up in other reports. [record-breaking drop](https://www.autoremarketing.com/wholesale/manheim-index-makes-nearly-record-breaking-drop-august)as measured by the Manheim Index.

Rates traders are now betting the Federal Reserve will lift its benchmark rate by at least three-quarters of a percentage point next week, with some chatter ...

The Dow Jones Industrial Average slid 1276 points, or 3.9%, to 31105, the S&P 500 tumbled 178 points, or 4.3%, to 3933 and the Nasdaq...

The inflation data is due out at 8.30am ET. A 75- basis point hike this month, will be the third such increase this year as rate setters seek to tame inflation which, as things stand, remains around 40-year highs. The Fed is almost fully expected to raise the rates by another 75 basis points at next week’s FOMC (Federal Open Market Committee) meeting. What will happen after is, however, up to the data,” she said. “Importantly for financial markets (and the Fed), surveys of consumers’ inflation expectations are coming down from highs in line with peaking actual inflation,” he said. These increases were mostly offset by a 10.6% decline in the gasoline index,” the Bureau said. These expectations are likely to shore up stock prices for now. Market expectations point to a slowing inflation rate, with the headline figure seen easing steadily to 8.1% in August from 8.5% in July and the peak of 9.1% in June. US stocks were expected to continue their recent rally at the start on Tuesday ahead of crucial inflation data for August which is predicted to show that price pressures in the world’s biggest economy may have already peaked. US stocks plunged ahead of the open on Tuesday after new data from the US Bureau of Labor Statistics show inflation increased more than expected in August, likely locking in a 75 basis point interest rate hike from the Fed later in the month. US stocks opened firmly in the red after the release of hotter-than-expected inflation data for August which is expected to have locked in a 75 basis point interest rate hike by the Fed over a more moderate 50 basis point increase later this month. US indices were in the red at midday, as investor sentiment soured over the US Federal Reserve's plan to increase interest rates until it is clear inflation is on a downward path.

US August CPI came in hotter than expected, but the bigger surprise was the strength in the Core CPI reading. Share: FOREX 10. The US Consumer Price Index ...

The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Immediately after the CPI print, the pair moved below the 50% retracement from the lows of September 6th to the highs of September 12th, near 1.0031. Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. If the inflation components are higher than expected, we may see another leak to the WSJ that the Fed will hike 100bps at its meeting next week! USD/JPY had the most dramatic move of the US Dollar currency pairs after the release of the CPI data. The August reading was 6.3% YoY vs and expectation of 6.1% YoY and a July reading of 5.9% YoY. Above there, USD/JPY could move to the highs of 1998 at 147.65. Price had been trading near the 61.8% Fibonacci retracement level from the lows of September 6th to the highs of September 7th, near 142. Below there, EUR/USD can fall to horizontal support at 0.9930 and then the September 6th lows at 0.9859. The US Consumer Price Index for August fell to 8.3% YoY vs an expectation of 8.1% YoY and a July reading of 8.5% YoY.

U.S. consumer prices rise more than expected in August · Traders price in a small chance of 100 bps rate hike · Indexes down: Dow 1.87%, S&P 2.30%, Nasdaq 3.07%.

The small cap Russell 2000 index [(.RUT)](https://www.reuters.com/quote/.RUT) dipped 2.9%. But now, it seems like the destination is now a little bit more in question," said Brian Jacobsen, senior investment strategist, Allspring Global Investments. [(.SPXBK)](https://www.reuters.com/quote/.SPXBK) dropped 2.8%. 20-21 meeting, while expecting rates to peak at around 4.28% in March 2023. [(.DJI)](https://www.reuters.com/quote/.DJI) was down 848.07 points, or 2.62%, at 31,533.27, the S&P 500 [(.SPX)](https://www.reuters.com/quote/.SPX) was down 122.57 points, or 2.98%, at 3,987.84, and the Nasdaq Composite [(.IXIC)](https://www.reuters.com/quote/.IXIC) was down 470.90 points, or 3.84%, at 11,795.51. [(.VIX)](https://www.reuters.com/quote/.VIX), also known as Wall Street's fear gauge, rose to 25.74 points. [(AAPL.O)](https://www.reuters.com/companies/AAPL.O), Microsoft Corp [(MSFT.O)](https://www.reuters.com/companies/MSFT.O) and Tesla Inc [(TSLA.O)](https://www.reuters.com/companies/TSLA.O) dropped 4.1% each, while Alphabet Inc [(GOOGL.O)](https://www.reuters.com/companies/GOOGL.O), Amazon.com Inc [(AMZN.O)](https://www.reuters.com/companies/AMZN.O) and Meta Platforms Inc [(META.O)](https://www.reuters.com/companies/META.O) slid between 4.8% and 7.4%. Excluding the volatile food and energy components, core CPI increased to 6.3% from 5.9% in July. [(.SPLRCL)](https://www.reuters.com/quote/.SPLRCL). [The Thomson Reuters Trust Principles.](https://www.thomsonreuters.com/en/about-us/trust-principles.html) [(.IGX)](https://www.reuters.com/quote/.IGX), which houses rate-sensitive technology and growth shares, fell 3.8% as Treasury yields rose, while its value counterpart [(.IVX)](https://www.reuters.com/quote/.IVX) lost 2.2%. [read more](/markets/us/monthly-us-consumer-prices-unexpectedly-rise-august-core-inflation-picks-up-2022-09-13/)