“The FTSE100 has come under renewed pressure following a shaky start on the other side of the pond.
The spectre of inflation is the most central cause for concern at the moment, which in turn could lead to interest rate rises earlier than investors had been anticipating. Potential blockages in the supply chain and the release of pent-up consumer demand could both place further pressure on prices.
However, set against a year ago when global economies were in lockdown, the oil price was plunging and growth outside of big tech was rare, the comparative increase is unsurprising.
For its part, the Federal Reserve has repeatedly pointed out over recent weeks that the spike in inflation is transitory and that fears of it remaining permanently are overdone.
At the same time, the Dow Jones and the S&P500 have continued to test record highs in recent sessions, such that letting some air out of the tyres was almost inevitable.