The benchmark indexes registered their biggest weekly decline since January as the latest Consumer Price Index report rattled the market. Inflation accelerated by a higher-than-expected 8.6% in May, marking a fresh four-decade high. The Dow Jones Industrial Average tumbled 880 points, while the tech-heavy Nasdaq index slid 3.5%, and the broad-based S&P 500 sank 116.96 points.
The market is tense, and the situation is frightening for the investors as they have been assessing the economy’s health in recent weeks. “There’s a lot of headfakes going on. And unfortunately, we’re not going to get a lot of clean looks at the economy, whether the U.S. economy or certainly the global economy, for quite some time because there’s just so many things that are hard to decipher,” said Michael Skordeles, senior U.S. macro strategist at Truist.
