Biden Administration officers have been claiming so confidently that inflation is below management and falling that buyers might have believed it. Unhealthy concept. Tuesday’s report on the consumer-price index for August confirmed inflation has remained excessive and sticky, and markets promptly fell away from bed.

And we imply from the highest bunk. The three.94% tumble within the Dow Jones Industrial Common was the worst day since 2020, and the declines within the S&P 500 and Nasdaq had been worse. Traders apparently had believed the hopeful chatter that inflation was headed downward, and that the Federal Reserve wouldn’t want to lift rates of interest so excessive as to courtroom a recession. Investing lesson of the week: By no means belief a politician.