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Stocks fall sharply to end the week. ‘Stagflation’ fears are back in the spotlight. - MarketWatch

1. DJIA fell 1.7%, losing about 716 points on disappointing data. 2. February PCE data showed inflation rising above 2% target. 3. Consumer spending declined, heightening concerns over economic health. 4. Fed futures indicate increased expectations for future rate cuts. 5. Tariff concerns are creating uncertainty in trade policy.

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FAQ

Why Bearish?

Persistently high inflation and declining consumer spending suggest economic instability. Historical examples show similar trends led to downturns, affecting DJIA's stability.

How important is it?

The economic data presented directly affects investor sentiment and future Fed actions, likely impacting DJIA.

Why Short Term?

Immediate consumer sentiment and inflation pressures likely to influence DJIA rapidly, while tariff uncertainties may prolong volatility.

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