A quick look around the markets after the hotter CPI data | Forexlive

The US CPI came in higher than expected and it has the markets all in flux but working in tandem:

• Yields are higher. The 10 year is trading to new cycle highs at 4.056% that’s up 15.5 basis points. That took out the 4.01% high seen in September. The yield is at the highest level since October 2008.

• US stocks are sharply lower with the S&P down -77 points. The Dow is down over 500 points. The NASDAQ index is down over 300 points. All 3 stock indices are now comfortably below their 200 week moving averages. The S&P closed at 3577 yesterday. It is currently trading down near 3500. That’s 100 points below the 200 week moving average at 3600. Looking at the weekly chart, the 50% of the move up from the 2020 low comes in at 3505.24.

• The dollar is higher. The GBPUSD remains up on the day as traders fight a war on two fronts with the potential for a backtrack of the PM Truss fiscal plan and now the higher US CPI. Looking at the strongest to the weakest, the GBP is the strongest, followed by the USD. The AUD and the NZD are the weakest as they run to the downside.

Markets are moving violently. Be aware