Menu
Banking Exchange Magazine Logo
Menu

Consumer Price Index Sends Market Into Retreat

The consumer price index rattled investors on Wednesday sending the Dow Jones down more than 400 points

  • |
  • Written by  Banking Exchange staff
 
 
Consumer Price Index Sends Market Into Retreat

The consumer price index rattled investors on Wednesday sending the Dow Jones down more than 400 points.

Inflation continues to cause the Fed headaches as the markets have been hoping for a rate cut early on in 2024 but none seem to be coming anytime soon. Further, the so-called “supercore” analysis was also bleak as it increased to a 4.8% level last month for an 11-month high.

The inflation rate is closer to 8% than it is to the Fed’s 2% target. Analysts are now saying the Fed’s first rate cut would not likely come until at least September with some for the first time speculating if in fact the central bank may have to reverse course and raise rates once again.

Treasury Yields reached six-month highs on Wednesday.

High inflation has had a knock on effect on consumer savings rates and higher borrowing costs for both banks and consumers.

Car insurance, housing insurance as well as property taxes are on the rise which are necessities rather than convenience items further complicating matters for central banks.

back to top

Sections

About Us

Connect With Us

Resources

ON-DEMAND WEBINAR:

How to get the most out of Data and AI
with Ravi Loganathan from Sardine
and President of Sonar

YOU CAN WATCH IT NOW!

In this webinar we will cover:

REGISTER TO VIEW IT ON-DEMAND!

This webinar is brought to you by:

SardineBanking Exchange