RTX - January CPI Takeaway: Do Not Buy The Dip In Stocks
2024-02-13 11:00:37 ET
Summary
- The January CPI came in above expectations, adding uncertainty to the path for Fed rate cuts.
- The risk is that inflation may be reaccelerating undermining the narrative for that has fueled stock market gains in recent months.
- We believe the setup is bearish for stocks and expect renewed volatility going forward.
The January CPI report threw a real curveball, coming in hotter than expected. The monthly headline rate of 0.3% was ahead of the 0.2% estimate , with core-CPI also ticking higher. The annual rate at 3.1% still fell from 3.4% in December but missed the mark compared to the 2.9% consensus....
January CPI Takeaway: Do Not Buy The Dip In Stocks