Inflation in the United States in August showed a decrease by a smaller amount than analysts expected - it was 8.3% against the forecasted 8.1%. Compared with July the index declined by 0.2 percentage points. These results caused a drop in U.S. and European stock exchanges and a sharp rise in the dollar as investors braced for a continuation of the Fed's cycle of tough rate increases and an even tighter monetary policy on its part, Prime wrote.

The collapse of major U.S. indices on Tuesday reached 4 - 5%. By the end of the day the Dow Jones lost 3.94%, S&P 500 - 4.32%, NASDAQ - 5.16%. In Europe the decline was more moderate: German DAX lost 1.59%, British FTSE 100 - 1.17%, French CAC 40 - 1.39%.

According to Brian Jacobsen, senior investment strategist at Allspring Global Investments, the main issue of concern at the moment is to what level the Fed is going to raise its key rate, the Associated Press reports.