Some like it hot. But the markets do not. That?s the sentiment of investors after the June PPI number came in at 11.1%. That was hotter than expected. Leading the charge was a 10% increase in energy costs. And that wasn?t the only piece of bad news that investors received. Unemployment claims were at their highest level in eight months.

The issue of the moment is what investors believe about inflation. There is some evidence that ?core? CPI is going down. That could mean producer prices are beginning to ease. On the other hand, consumers are still feeling inflation every time they fill up their cars or shop for groceries.

That sent the market down for the fourth straight day. And that will be the longest losing streak in a month for U.S. stocks. Gold and oil were also down today.

Now that the S&P 500 index is below 3,800, investors will eye the 3,600 level. It?s fair to ask if that?s where the bulls make a stand. If they do, it will despite a lift from the big banks. Earnings from JPMorgan Chase and Morgan Stanley both disappointed.