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Nasdaq 100 Falls More Than 2% After U.S. CPI Inflation Hits Highest Since May 2023

The move followed data showing Consumer Price Index inflation accelerated to its strongest level since May 2023, pressuring risk assets during the trading session.

Summary

The Nasdaq 100 dropped more than 2% on the day after U.S. CPI (Consumer Price Index, a key inflation gauge) inflation rose to its highest level since May 2023. The move points to renewed pressure on risk assets as hotter inflation data can reduce expectations for near-term interest-rate cuts and tighten financial conditions. In crypto markets, macroeconomic releases such as CPI are closely watched because they often influence liquidity, investor risk appetite, and price action across Bitcoin and other digital assets.

Terms & Concepts
  • CPI: Consumer Price Index, a widely used measure of inflation that tracks changes in the prices paid by consumers for goods and services.
  • Nasdaq 100: A stock market index made up of 100 of the largest non-financial companies listed on the Nasdaq exchange, often used as a proxy for growth and technology shares.
  • Risk assets: Investments such as stocks and cryptocurrencies that typically perform better when investors are comfortable taking on more market risk.