𝚄𝚂 𝚂𝚝𝚘𝚌𝚔𝚜 𝙵𝚎𝚕𝚕 𝟸% 𝚈𝚎𝚜𝚝𝚎𝚛𝚍𝚊𝚢, 𝚃𝚑𝚎 𝙱𝚒𝚐𝚐𝚎𝚜𝚝 𝙵𝚊𝚕𝚕 𝙸𝚗 𝙰𝚕𝚖𝚘𝚜𝚝 𝟻 𝙼𝚘𝚗𝚝𝚑𝚜
Stock markets around the world did something quite unusual for 2021 in September — they fell more than 2% in value. For US stocks (S&P 500 index) that's something they haven't done for almost 5 months.
Central banks around the world increasingly look like they're going to take action on inflation, with subtle hints and language that can be infuriatingly vague for onlookers. If, or rather when, central banks decide to change the music, it's likely to come via higher interest rates or a tapering down of the enormous stimulus packages that many have implemented in recent years. In the US that's the $120bn-a-month bond purchases that are currently in place.
Zooming out: One bad day doesn't mean too much. US stocks are still up almost 20% this year.
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