US stocks fall sharply after hotter-than-expected inflation
What Happened
US stocks traded lower after September inflation data revived concerns over interest rates. Consumer prices rose 0.6% month-on-month and 3.7% year-on-year, while core inflation also came in above forecasts. The 10-year Treasury yield climbed above 5.27% following the report. Current status As of 11:29 PM IST: S&P 500: 7,708.85, down 1.24% Nasdaq Composite: 26,690.73, down 1.89% Dow Jones: 51,453.74, down 0.42% Russell 2000 futures: down 2.09%
Key Takeaways
The main trigger is higher-than-expected inflation, which has pushed Treasury yields up and revived concerns about the Federal Reserve interest-rate outlook. Growth and technology shares are bearing the brunt, with the Nasdaq falling considerably more than the Dow.