Hotter inflation yesterday meant stocks were unable to continue higher, however, inflation is cooling and support sits below.

The S&P struggled for direction after inflation came in at 6.4% vs 6.2% estimate. Previous figures were 6.5%. Therefore at Minipip, while the reading was not as good as expected, it does show inflation is cooling. The UK inflation CPI figure this morning also shows a slowdown as well. Overall this in our view is positive and hence why the market likely didn't 'sell off' significantly. Looking at the S&P500 ample support levels are below. Firstly at 4,093, followed by 4,060, then 3,975 and finally trendline support at 3,920. Towards the upside resistance sits t 4,130 followed by 4,155 and then 4,200. A break above 4,200 could take the S&P up towards 4,314. MACD is trending lower and this will be likely a muted, noisy week.