To The Moon

Yesterday summary session The $DJIA(.DJI)$ experienced its sharpest decline since March last year, with approximately 90% of S&P 500 stocks falling as well. This significant pullback from record highs was triggered by a higher-than-expected inflation report, causing both the Dow and S&P 500 to lose 1.4%, while the $NASDAQ(.IXIC)$ dropped by 1.8%. The surge in bond yields added pressure to stock prices, with the two-year U.S. Treasury note yield hitting 4.65%, its highest level in about two months. Yields Inflation Report Impact The consumer price index (CPI) increased by 0.3% in January, surpassing expectations and rising 3.1% from a year earlier. Core CPI, which excludes volatile food and energy components, rose 0.4% last month, matching the December change and halting a trend of declining inflation seen over the past year. This higher-than-expected inflation reading shifted Wall Street's forecast for interest-rate decreases, with markets now not expecting a cut until June, and a possible resumption of Fed rate increases. CPI Earnings Highlights and Market Reaction Several companies reported earnings, including Coca-Cola, Airbnb, Marriott International, Shopify, and Biogen. Lyft experienced an interesting post-earnings move, briefly spiking more than 60% in after-hours trading due to a typo in its earnings press release suggesting a significant increase in profit margin. However, the error was corrected during Lyft's earnings call, and the stock settled around 15% higher later in the evening. Traders are adjusting their expectations for Fed easing in light of the inflation jump, leading to the end of a global bond rally that began in December. $NVIDIA Corp(NVDA)$ surpassed $Amazon.com(AMZN)$ in market capitalization on Tuesday. It’s a sign of strong demand for semiconductors that run cutting-edge artificial intelligence and the investor appetite for the companies that make the chips. $NVDA Conclusion The hotter-than-expected CPI report forced markets to acknowledge the Fed's cautious approach to rate cuts, resulting in a notable increase in the CBOE VIX Index $Cboe Volatility Index(VIX)$ and a significant selloff in stocks. Nvidia surpassed Amazon in market capitalization, reflecting strong demand for semiconductors and investor appetite for chip-making companies. Market fluctuations and investment decisions should be made with caution. Past performance is not indicative of future results. It is advisable to seek professional financial advice before making investment decisions. Thanks for reading and support. You’re welcome. @TigerStars @CaptainTiger @Tiger_SG Congratulations, you have found the Lunar New Year Special Tigers. You can leave a message "HAPPY LUNAR NEW YEAR" in the comments section of the post & win 10 Tiger Coins. The first person to find the Lunar New Year Special Tigers. and comment"HAPPY LUNAR NEW YEAR" in this post will receive USD20 stock voucher. In addition, the first Tiger who finds all four cards and posts "HAPPY LUNAR NEW YEAR" will receive a USD88 stock voucher. Click here to view more details