Hot CPI Hits Tech
A hotter-than-expected inflation report sent tech sharply lower while blue chips held; no stock reached the top tier, and the clearest reads are distribution in richly valued growth.
The Signal
The broad market fell about one percent and the Nasdaq nearly twice that, while the Dow was flat. More stocks saw money leaving than arriving, but higher lows still far outnumber fresh lows. Early bullish turns sit in industrials and real estate; bearish turns are concentrated in technology, the heaviest this month.
The Noise
September inflation came in hot, led by energy, and lifted the odds of a Fed hike at the end of the month. The market read it as bad news for growth, and chip stocks fell for a seventh straight session. The data agrees on direction but not on panic: structure is holding, and this looks like rotation under pressure.
Multi-Signal Confluence
Palantir (PLTR): higher highs and deeply overbought, but the money behind the move faded in the last session, a distribution pattern. The business beat estimates last quarter. Report expected around November 2. Do not chase.
Shopify (SHOP): the same pattern, with the model's projected fair value now below the price. Revenue grew more than thirty percent in the spring report. Report expected around November 3.
Chipotle (CMG): a reversal candle near the lows and a higher low, enough for the watchlist. Reports around October 28, with options pricing about a nine percent move, so wait for the print.