Core CPI increased 6.6% from a year ago, the highest level since 1982, and 0.6% MoM. Consensus was for 0.4%.

Headline increased 8.2% YoY and 0.4% MoM versus consensus of 0.2%.

Bottom line, there’s no reason to believe the Fed will pause their rate hikes any time soon.

continued for members…

It still appears that the best support will come in at the 2020 highs/30% decline. COMP has already reached an important level of support – the white 2.24 Fib as well as the purple .618 – but has also not reached its 2020 highs.  Recall that in June, it was COMP’s bounce off its rising purple channel bottom that ended SPX’s decline prematurely.More on COMP in a separate post due out later.

As discussed before, VIX’s neckline could be an important impediment to equity prices declining any further than this support. But, that’s only a theory at this point. It should come as no surprise that USDJPY topped its 1998 highs this morning – though by only a penny – and EURUSD’s slide is becoming more noticeable.

more later...