SQQQ on Yahoo Finance has seen average daily volume surpass 70M shares, hinting at strong hedging activity. The RSI levels are approaching overbought territory, which may precede intraday pullbacks as broader equities digest Fed rate projections. U.S. inflation jumped in March, surpassing expectations primarily due to higher petrol and shelter costs, dashing hopes of a June interest rate cut by the Fed. The US consumer price index (CPI) rose by 0.4% sequentially, exceeding estimates from Wall Street. Over the 12-month period ending in March, the CPI recorded a 3.5% year-over-year increase, marking the largest gain in six months since September 2023. This follows a 3.2% rise in February 2024. Still, GameStop shares remain well below all-time highs of over $80 during the stock's short squeeze in 2021. Latest Yahoo Finance data points to SQQQ’s sharp intraday swings, mirroring Nasdaq weakness amid softer semiconductor earnings. Analysts project near-term upside for this inverse ETF should CPI inflation print above expectations.
