Thursday’s session in the S&P 500 index futures flipped Wednesday’s epic gains on their head, wiping out about 40% of the prior day’s surge.
Overnight trading started bullish, nudging the week’s high to 5528.75 and forming a double top, but bears quickly snatched control. A slow, fairly steady bleed unfolded through the night and early morning, until the latest Consumer Price Index (CPI) data hit at 8:30 AM ET.
| March Report | Actual | Expected | Previous |
| CPI (MoM) | -0.1% | 0.1% | 0.2% |
| CPI (YoY) | 2.4% | 2.6% | 2.8% |
| Core CPI (MoM) | 0.1% | 0.2% | 0.2% |
| Core CPI (YoY) | 2.8% | 3.0% | 3.1% |
The lighter-than-expected CPI numbers sparked a brief bull rally to reclaim some losses, but the surge fizzled fast and selling resumed as the regular session kicked off. Once the psychological 5300 level (also coinciding with Tuesday’s high) crumbled, the pace of the decline accelerated. The falloff also coincided with Fed’s Bowman noting “Tariffs on China now total 145%.”
The plunge bottomed at 5146.75, somewhat near the 50% retracement of this week’s move, around when Fed’s Goolsbee mused about lower rates 12 to 18 months out. From that low, bulls clawed back, though the ride was a volatile, choppy mess right to the close. Late-day resistance stalled near today’s 50% retracement, and bears shoved back.
A final 15-minute buying burst softened the blow, wrapping the session below the day’s midpoint at 5302, down 189 handles. Friday brings more inflation data with the PPI report at 8:30 AM ET.
Unlike Wednesday’s rally, no top components dodged the selloff, leaving Berkshire Hathaway Inc (NYSE: BRK.B) as the smallest loser, slipping $5.60, or 1.07%, to close at $515.81.
That outpaced the cash index’s 4.38% tumble by over three percent.
Tesla Inc (NASDAQ: TSLA), flipping its Wednesday win, cratered as the biggest loser, shedding $19.80, or 7.27%, to close at $252.40. Beyond the index, the US dollar futures notably tanked 1.8%.
