Markets ‘On Fire’ After Inflation Numbers Come in Lower Than Expected

Conservative News DailyOctober 24, 2025

The stock market surged on Friday following new inflation data that exceeded economists’ expectations,reflecting positively on the Trump administration’s economic performance. The September consumer price index (CPI) increased by 0.3%, below the anticipated 0.4%, and the annual inflation rate stood at 3%, also lower than the forecasted 3.1%. Core inflation, which excludes food and energy, similarly came in below predictions. This better-than-expected inflation report energized Wall Street, with major indices like the Dow Jones Industrial Average, S&P 500, and nasdaq all posting significant gains by midday. White House Press Secretary Karoline Leavitt credited President Trump’s economic policies for the favorable inflation figures and criticized Democrats for leveraging the situation for political purposes. The report also increased expectations of forthcoming Federal Reserve interest rate cuts. Despite concerns, tariffs imposed under Trump’s administration have not triggered high inflation but generated substantial government revenue.

The stock market rose Friday after the latest report on inflation showed the Trump economy once again beating economists’ projections.

September’s consumer price index showed inflation rising 0.3 percent for the month, less than the 0.4 percent rate economists projected, according to CNBC.

Bureau of Labor Statistics data showed the annual inflation rate at 3 percent, lower than the 3.1 percent projected by economists.

The so-called core inflation rate that omits food and energy also came in below expectations, with a September rate of 0.2 percent, lower than the 0.3 percent projected, and an annual rate of 3 percent, lower that the projected 3.1 percent.

Wall Street noticed – big time.

“The markets are on fire,” Fox Business commentator Maria Bartiromo said as the news broke.

🚨 “The markets are on fire!” — @MariaBartiromo on the stock market SOARING this morning after inflation comes in much BETTER than expected.

“CPI comes in better than expected. We came in 0.3% month-over-month… looking for 0.4%. Year-over-year headline CPI 3.0%… looking for… pic.twitter.com/pczyjeBtDs

— TV News Now (@TVNewsNow) October 24, 2025

The party continued all morning long.

As of noon Eastern Time, the Dow Jones Industrial Average was up 1.2 percent, or 560 points, according to Google. The S&P 500 rose 63 points, or .98 percent, while the Nasdaq average was up 1.23 percent, or 281 points.

“Inflation came in below market expectations in September thanks to President Trump’s economic agenda,” White House press secretary Karoline Leavitt said in a post on X.

“This is good news for American families, and it’s a shame the Democrats are using them as ‘leverage’ to fund health care for illegal aliens,” she wrote.

Inflation came in below market expectations in September thanks to President Trump’s economic agenda.

This is good news for American families, and it’s a shame the Democrats are using them as ‘leverage’ to fund health care for illegal aliens.

Democrats choosing to keep the…

— Karoline Leavitt (@PressSec) October 24, 2025

“Democrats choosing to keep the government closed will likely result in no October inflation report, which will leave businesses, markets, families, and the Federal Reserve in disarray,” Leavitt added.

CNBC reported that expectations of a Federal Reserve interest rate cut have now increased, with on tool estimating there is a 95 percent chance of a rate cut next month and a 98.5 percent chance of one in December.

August’s annual inflation rate figure had been 2.9 percent, according to the Wall Street Journal.

The Journal report noted that fears of massive inflation linked to President Donald Trump’s tariff policy have no materialized.

Meanwhile, the federal government brought in about $30 billion in tariff revenue in September.