Skip to content

With the first monthly drop since July 2022, the negative m/m headline CPI number (-0.1%) triggered another round of dovish reactions. Bonds and small caps were bid, and the dollar was offered. The Fed rate cut expectations jumped from 2 to 3 for the rest of the year. By now, we should all be very familiar with the overreaction that comes with every 0.1% beat/miss. What’s new this time is the rotation from large AI-related growth stocks to small caps. One day does not make a trend but this is clearly worth monitoring.

Click here to read more of the article on 'Inflation Watch'. 

Explore Blog Content

Presidential candidates entice voters with expensive tax breaks

Will tariffs and higher taxes be enough to pay for these benefits? Not even clos...

Read More
The Falling Leaves, Drift by the Window

October is often a tough month for risk assets. Some of the stock market’s bigge...

Read More
Elections, the Fed, and Uncertainty: Navigating the Fixed Income Market

Navigating the fixed income market is becoming increasingly complex due to a ran...

Read More
The Cyclical Nature of Large Cap Stocks and Why Large Cap Value Stocks May Be Ready to Take the Lead Again

Read More
Back to Learning Center

Explore Leuthold Content

Major Trend Index

The Major Trend Index held at a Neutral reading for the week ended July 26th. A ...

Read More

Leuthold Group Insights Market Commentary Leuthold Styles, Boxes, and Paradoxes

Leuthold Select Industries is the mutual fund incarnation of our Group Selection...

Read More

Leuthold Inflation Watch

The latest CPI report was a tad cooler than consensus. Our scorecard suggests th...

Read More

Leuthold's Major Trend Index

The Major Trend Index was unchanged at a High Neutral reading of +1 for the week...

Read More
Back to Learning Center