‘Wow! Really Big Moves!’ CNBC Anchor Stunned As Stocks Shoot Up On Good Inflation News

CNBC anchor Becky Quick was stunned when stock futures shot up after a better-than-expected May inflation report hit, exclaiming “Wow! Those are some really big moves there!”

The Bureau of Labor Statistics published its CPI (Consumer Price Index) report on Thursday morning, which showed better-than- expected numbers:

CONSUMER PRICE INDEX – MAY 2024

The Consumer Price Index for All Urban Consumers (CPI-U) was unchanged in May on a seasonally adjusted basis, after rising 0.3 percent in April, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index increased 3.3 percent before seasonal adjustment.

More than offsetting a decline in gasoline, the index for shelter rose in May, up 0.4 percent for the fourth consecutive month. The index for food increased 0.1 percent in May. The food away from home index rose 0.4 percent over the month, while the food at home index was unchanged. The energy index fell 2.0 percent over the month, led by a 3.6-percent decrease in the gasoline index.

The index for all items less food and energy rose 0.2 percent in May, after rising 0.3 percent the preceding month. Indexes which increased in May include shelter, medical care, used cars and trucks, and education. The indexes for airline fares, new vehicles, communication, recreation, and apparel were among those that decreased over the month.

The all items index rose 3.3 percent for the 12 months ending May, a smaller increase than the 3.4-percent increase for the 12 months ending April. The all items less food and energy index rose 3.4 percent over the last 12 months. The energy index increased 3.7 percent for the 12 months ending May. The food index increased 2.1 percent over the last year.

On Wednesday’s edition of CNBC’s Squawk Box , Santelli read off the numbers, and as he did, the onscreen graphics displayed the market’s reaction to the news a sharp jump in stock futures. When Santelli finished, Quick remarked on the reaction to the new, which increases the chances of a Fed rate cuts:

BECKY QUICK: All right. We want to get right over to Rick Santelli. He is going to have those numbers in just about five seconds time. Rick.

RICK SANTELLI: Yes. We are awaiting our main read on the consumer price index. And of course, this is expected to be a big deal for the fed, which meets today, by the way. And it is hitting the wires unchanged on headline month over month, CPI unchanged. As was pointed out, we’re expecting up one tenth of a percent. Unchanged is the lowest level going all the way back to May of 2020.

…

RICK SANTELLI: Pre-opening equities have moved all the way up to up 260 points in the Dow futures! Becky, back to you.

BECKY QUICK: Rick I think you summarized it so well. And your point is this basically erases the jobs number that that showed maybe something that wasn’t going to bring us rate cuts.

This erases that number and kind of evens the table again? The playing field.

RICK SANTELLI: Yes. I would think that’s exactly right.

BECKY QUICK: Wow! Okay. These are some really big moves!

Watch above via CNBC’s Squawk Box .