Today we have cpi and next week fed rate cuts as the markers are so desperately waiting for, imagine a number that's 2/10ths higher than the consensus on the cpi report today..... forget it all hopes of a 50 and even a 25 basis point cut would disappear, would be quite amusing though if the inflation report today comes in higher than expected compared to all the previous months prior. But yea major volatility this morning if this number is hot hot hot but I'm sure they are going to announce the most perfect number as usual Here are the key points to know about August's consumer price index, due at 8:30 a.m. ET Tuesday: CPI is expected to rise 0.2% from July, according to a Wall Street Journal survey of economists. Core CPI, which strips out volatile food and energy, is seen advancing at the same monthly rate. Both measures of inflation also rose 0.2% last month. Year-over-year CPI is seen at 2.6%, down from 2.9% as of July. Annual core CPI is seen holding steady at 3.2%.
Do you have a trading strategy for CPI rising .2% and core CPI holding steady at 3.2%? If not, then whats the usefulness of this data? Personally, I don't know how CPI came in....nor do I care. I just know that the market dipped in the morning and then went up in the afternoon. That's all that matters.