US Inflation Stronger Than Expected, Fed Rate-Hike Bets Rise

Stronger-than-expected inflation data has renewed expectations the Fed may extend its rate-hiking cycle, pressuring equities as semiconductor shares fell and the Nasdaq 100 dropped 2%. The S&P 500 ended its longest streak without a 1% daily decline in over six years. USD strength likely follows; upcoming Core PPI, Core Retail Sales, and PPI releases on 15 Oct will signal whether inflation momentum persists and shape Fed policy expectations.