- Stocks fell as data revealed that US inflation will remain high for some time, raising fears that the Federal Reserve would be obliged to take additional tightening measures, perhaps tipping the country into recession.

- Fed's Bostic, didn't help matters by saying he's open to "moving more" on rates if inflation remains high. The S&P 500 lost its gains and fell to its lowest level since March 2021, while the tech-heavy Nasdaq 100 lost roughly 3% amid a sell-off in companies like Tesla and Apple. After a surge that reached 2% earlier in the day, small caps fell. The difference between two- and 10-year yields narrowed nine basis points as the Treasury curve flattened.

- According to pricing in federal-fund futures markets, investors appear to concur that a 75 basis-point boost is unlikely. However, they raised the odds of another half-point boost in September, following increases of that magnitude in June and July. Last week, the US Federal Reserve raised interest rates by a half-point, and Fed Chair Powell indicated that comparable hikes are on the table for the next two sessions, while opposing a larger move.

- While annual consumer price indices fell slightly in March, suggesting a peak that economists expected, the details of a report released on Wednesday offered a more alarming picture, with monthly readings rising faster than projected. The cost of services increased, but most goods inflation remained persistently high, highlighting the durability and breadth of pricing pressures.

- Before reaching a historically crucial technical support level, the S&P 500 may face more fall toward 3,600 points, down 10% from Tuesday's close. With the exception of the tech boom and the global financial crisis, the 200-week moving average has seen the US benchmark bounce back throughout all significant bear markets since 1986.