$IWM CPI DROP to PPI POP
IWM still closed bearishly underneath the 50 Day moving average - watch out for the 30min 200 & 50DMA as resistance
Inflation is good for the market. It’s not good for the consumer.
Small-cap stocks, which represent smaller companies with market capitalizations typically below $2 billion, can be particularly sensitive to inflation. These companies often have less pricing power, meaning they struggle to pass on rising costs to consumers without losing market share. Additionally, small caps tend to rely more on debt financing, and higher inflation often leads to rising interest rates, increasing borrowing costs. This can squeeze their profit margins and limit growth opportunities.
