How the Stock Market Reacts to US CPI Data Releases
Stock-Markets / Stock Market 2023 Mar 24, 2023 - 10:44 AM GMTUS CPI Data released for October, November, December and January show the CPLIE script of usually a fake out drop ahead or on release followed by strong rally on relief that whatever the data is, it was not quite as bad as it could have been and thus triggers a FOMO rally fed by bears shorting during the preceding decline rushing to cover their shorts, and so are we in for a similar event Tuesday? or is this time going to be more like December, the only time when there was a deviation from the script as it was looking rather obvious by then and hence the market did the opposite, what is obvious right now? Probably a FOIMO rally, so on face value suggests to expect the opposite which is what I have been positioning towards these past weeks.
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By Nadeem Walayat
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Nadeem Walayat has over 30 years experience of trading derivatives, portfolio management and analysing the financial markets, including one of few who both anticipated and Beat the 1987 Crash. Nadeem's forward looking analysis focuses on UK inflation, economy, interest rates and housing market. He is the author of five ebook's in the The Inflation Mega-Trend and Stocks Stealth Bull Market series that can be downloaded for Free.
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