It was an extremely difficult week for equities in London after far higher than forecast US inflation numbers were released ahead of US open, raising an instant worry over further central bank policies and consumer confidence.

US inflation hit a new four-decade high May, which triggered an almost instant sell off on US index futures. These numbers are a worrying trend, and puts further pressure on families as prices to purchase essentials like food, fuel increase dramatically.

Investors are very concerned about inflation. This was true even before today’s US CPI number, which hasn’t been helped by comments from the ECB.

The Federal Reserve is expected to accelerate its aggressive monetary policy tightening as a result of this inflation report. This will be ahead of next week’s US central bank interest rate decision. The Fed’s first increase of over 50 basis points since May 2000 was implemented last month, and many are predicting further hikes over the next few month.

The FTSE 100, mid cap and small cap markets such as AIM were hit hard also. Many companies on main market of London exchanges have seen their value decrease by near 30% since the war in Ukraine broke out.

Technology companies have suffered the most. Companies whose earnings are farther in the future will suffer more from rising interest rates, such as technology companies.

Anglo American, CRH and Melrose Industries were 3 of the largest fallers, but they were not alone as most of the top 100 came under pressure.