And So It Begins...

The Dow made a significant drop today by 71.86 points. What made this drop significant is the fact that it is the second consecutive drop on rising volume. In fact, it is rather clear now that the market has begun a pricing in of the possibility of not getting a rate cut, beginning 10 Oct. A lot of analysts attributed the action these 2 days to rising oil prices. Yes, rising oil prices is a concern but, recently, not a concern big enough to move markets. In fact, the market has been rising along with oil prices since this rally begun in August. Tomorrow's CPI numbers is going to be a major market mover. CPI is expected to be lower this time as all other inflation indicators continue to turn up tame. Response to the number is likely to be textbook, but with limited real gains or losses reflected in the market eventually.

What's your take on tomorrow's CPI numbers? Please comment on your thoughts. :)