We're Going Live For CPI Tomorrow

Could it put a halt to the bull market?

The Consumer Price Index (CPI) is set to release tomorrow at 8:30 AM ET. 

If you don’t know what it is, think of it like a financial thermometer which measures how hot or cold inflation is running in our economy. 

It tracks the average changes in prices for goods and services that people buy regularly. 

However, it doesn’t include food or energy. 

And is often viewed as a key indicator of inflation.

The Latest Numbers

Prices are expected to rise by 0.1% compared to 0% last month. 

In addition, prices are expected to be 3.1% higher than last year (down from 3.3%). 

As a trader, it’s important to know what the expectations are. 

If they overshoot or come below the estimate it can have major implications on the stock market. 

CPI Report Breakdown

Here’s What We’ll Be Discussing:

  • Powell is signaling rate cuts– but is it all good news?

  • Yield Curve Inversion: Are we headed for a recession?

  • S&P 500 reality check: Earnings have been flat since 2021 (adjusted for inflation)

  • Weak dollar scenario: Golden opportunity for commodities?

  • Market sectors to watch: Consumer staples and utilities in the spotlight

  • Treasury yields and market sentiment: What’s next?

The markets are buzzing with talk of rate cuts, but what's really on the horizon? 

While JPow's recent comments have sparked optimism, savvy investors know there's more to the story.

As we dive into earnings season, it's crucial to understand that S&P 500 earnings haven't increased beyond inflation since 2021. With 9 out of 11 sectors barely above their early 2022 highs, where's the real growth?

A weak dollar scenario is building, potentially boosting commodities like gold and industrial metals. But beware - hotter inflation could spell trouble for long-term treasury prices and overall market sentiment.

Are we on the brink of a defensive rotation?

As the yield curve flirts with de-inversion, history suggests we might be closer to a recession than many realize.

Don't navigate these choppy waters alone. Join our live event to get expert insights on how to position your portfolio for what's coming.

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