The stock market has had a turbulent year with lingering concerns over multi-decade high inflation and the Fed’s aggressive interest rate hikes. The two consecutive quarters of economic contraction have made many economists believe that a recession has arrived.
The July jobs data, which came in stronger than expected, had led investors to believe that inflation would rise further. However, the July CPI data released this morning shows that inflation has eased from the 40-year high level but remained elevated with an 8.5% increase from a year ago.
