From Startup Fortune · · 1m 10s
Hot September CPI Print Sends Stocks and Crypto Tumbling Together
September CPI print hits 3.7%, triggering stock and crypto sell-offs.
In brief
September CPI print hits 3.7%, triggering stock and crypto sell-offs. September's CPI rose 3.7% year over year, causing stocks and crypto to drop sharply as traders reacted to hotter inflation data. Originally reported by Startup Fortune.
CPI Print Lands Hot
The consumer price index rose 3.7% year over year in September, hotter than economists expected.
Stocks Drop Sharply
The S&P 500 closed down 1.11% at 7,718.94, its first drop of more than 1% since July.
Crypto Slides
Bitcoin dropped toward $81,000 and briefly traded below that level after the report landed.
Bond Yields Jump
Treasury yields jumped as traders priced in a higher chance the Fed holds rates steady for longer.
Liquidation Wave
Ethereum shed $333 million in the latest liquidation wave, the worst single-day tally since August 21.
Why Fed Policy Shifts
Core inflation rose 2.6% annually, making the cooling story harder to sustain going into the Fed's late October meeting.
Market Reaction
The inflation data triggered a billion-dollar unwind in borrowed crypto positions, compounding the decline.
The bottom line
September's CPI rose 3.7% year over year, causing stocks and crypto to drop sharply as traders reacted to hotter inflation data.
