All major indexes took a dive after inflation data in the US was the worst in 40 years.
Bloomberg:
- ‘It’s a reality check’: Wall Street reacts to inflation data
- BofA survey shows investors fleeing equities en masse on fear of recession
MarketWatch:
- The hottest US inflation in 40 years shows little sign of cooling off
- Any doubt Fed will raise rates by 75 basis points next week is gone after hot U.S. inflation data
- Dow books nearly 1 300-point drop as stocks record worst day since June 2020
- Starbucks to spend $450 million next year to revamp stores, speed up service
Global Indexes
S&P 500
We were warned that inflation data will determine market direction. The S&P 500 wiped out the past 4-day rally in 1 day. It is back in all negative territory.
DAX
The DAX made a piercing negative candle and will most probably follow the US lower today.
HANG SENG
The HANG SENG did not even threaten its negative trend line before making a gap down.
NYSE & NASDAQ Stocks
Capital One Financial Corp
There were only 5 shares listed on the S&P500 that made a small positive gain. Most made a gap down like Capital One Financial Corp. Notice how this share stalled with a doji below the negative trend line, before inflation data caused the gap down.
Apple Inc
Apple wiped the positive move that started in one day. Interesting to note that the MACD never turned green during the bounce.
JSE Stocks
JSE All Share
The JSE All Share also responded with the US and made an Engulfing Bear candle.
Capitec Bank Holdings Limited
Capitec Bank broke support and is heading towards the 1690 level. Notice where the Frontrunner breaking down was confirmed a few days later by the MACD turning red.
Algomodel Startegies, Education & Features
Click on Education or go to the home page to view education posts.
Frontrunner, Gaps, Trend and Cyclic Indicators are explained in these education posts.
All stock graphs are shown with a Trend Candles Template which is a feature available in Algomodel Signals Pro.
