The reason the market tanked...
Here is an short recap of today's CPI data report:
- Inflation did not ease as much as expected in August, with an 8.3 percent rise in the Consumer Price Index.
Overall CPI 8.3%
Core CPI 6.3%
Expectation for core was 6.0%
Due to core CPI rising this may lead to a higher expected interest rate hike which will be announced in next FOMC meeting
Why does this matter?
This is what it did to the market today... now we will have to wait until September 20th for the next FOMC meeting to see the interest rate hike and see how the market reacts.