Wall Street: US inflation weighs on Wall Street despite strong quarterly figures
Quick Look
- The U.S. inflation rate rose to 3.7 percent in September, beating forecasts of 3.6 percent.
- This increases interest rate concerns on Wall Street and leads to rising yields on US government bonds and price pressure on stock markets.
AI-generated summary
Why It Matters
The US inflation rate is a key indicator for the US Federal Reserve's monetary policy decisions.
US consumer prices rose more than expected in September. The inflation rate is 3.7 percent compared to the previous year; analysts had expected 3.6 percent. This is fueling new interest rate concerns on Wall Street. The yield on ten-year US government bonds rose to around 5.3 percent after the data was published. At the same time, the financial markets now expect a probability of more than 40 percent that the US Federal Reserve will raise key interest rates in its next interest rate decision on October 28th.
Even good company news can hardly brighten the mood. Even companies that are convincing with their quarterly figures and business prospects come under pressure on the stock market. The shares of the Dutch chip supplier ASML cannot maintain their initial price gains despite strong business figures.
What to Watch
AI outlook — possibilities, not facts
Fed interest rate decision on October 28th
Possible · Within weeks
Open Questions
- What will the Fed actually decide on October 28th?
