US Markets Sink on Unexpectedly High Inflation

By Defne Eldem, Arts & Entertainments Editor, Pawprint DAA

High inflation statistics throughout the United States reach new levels. Prices rose 8.3% in the 12 months through August, the Labor Department said, faster than the 8.1% that economists had expected. Simultaneously, the cost of housing, food and medical care continued to surge.

The Dow Jones Industrial Average sank nearly 4%, the S&P 500 dropped 4.3%, and the Nasdaq plunged more than 5%. This marked the steepest day of declines since June 2020.

The report was also a worrying indicator before the national elections in November for US President Joe Biden, whose support ratings plummeted below 40% early this year as a result of concerns over the expense of living. They will decide if Mr. Biden’s Democrats keep a tenuous hold on Congress.