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Markets 'On Fire' After Inflation Numbers Come in Lower Than Expected

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The stock market rose Friday after the latest report on inflation showed the Trump economy once again beating economists’ projections.

September’s consumer price index showed inflation rising 0.3 percent for the month, less than the 0.4 percent rate economists projected, according to CNBC.

Bureau of Labor Statistics data showed the annual inflation rate at 3 percent, lower than the 3.1 percent projected by economists.

The so-called core inflation rate that omits food and energy also came in below expectations, with a September rate of 0.2 percent, lower than the 0.3 percent projected, and an annual rate of 3 percent, lower that the projected 3.1 percent.

Wall Street noticed – big time.

“The markets are on fire,” Fox Business commentator Maria Bartiromo said as the news broke.

The party continued all morning long.

As of noon Eastern Time, the Dow Jones Industrial Average was up 1.2 percent, or 560 points, according to Google. The S&P 500 rose 63 points, or .98 percent, while the Nasdaq average was up 1.23 percent, or 281 points.

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“Inflation came in below market expectations in September thanks to President Trump’s economic agenda,” White House press secretary Karoline Leavitt said in a post on X.

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“This is good news for American families, and it’s a shame the Democrats are using them as ‘leverage’ to fund health care for illegal aliens,” she wrote.

“Democrats choosing to keep the government closed will likely result in no October inflation report, which will leave businesses, markets, families, and the Federal Reserve in disarray,” Leavitt added.

CNBC reported that expectations of a Federal Reserve interest rate cut have now increased, with on tool estimating there is a 95 percent chance of a rate cut next month and a 98.5 percent chance of one in December.

August’s annual inflation rate figure had been 2.9 percent, according to the Wall Street Journal.

The Journal report noted that fears of massive inflation linked to President Donald Trump’s tariff policy have no materialized.

Meanwhile, the federal government brought in about $30 billion in tariff revenue in September.

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Jack Davis is a freelance writer who joined The Western Journal in July 2015 and chronicled the campaign that saw President Donald Trump elected. Since then, he has written extensively for The Western Journal on the Trump administration as well as foreign policy and military issues.
Jack Davis is a freelance writer who joined The Western Journal in July 2015 and chronicled the campaign that saw President Donald Trump elected. Since then, he has written extensively for The Western Journal on the Trump administration as well as foreign policy and military issues.
Jack can be reached at jackwritings1@gmail.com.
Location
New York City
Languages Spoken
English
Topics of Expertise
Politics, Foreign Policy, Military & Defense Issues




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