The US dollar had a roller coaster ride on Thursday, as the international reserve currency slumped and then soared and then tanked. Investors were initially at a point of despair over the September inflation reading, but then they turned bullish and sent stocks higher. It was the typical volatility seen on the market.

According to the Bureau of Labor Statistics (BLS), the annual inflation rate eased to 8.2% in September, down from 8.3% in August. However, the market had initially anticipated a print of 8.1%. On a monthly basis, the consumer price index (CPI) rose 0.4% last month, double the market estimate.

The core inflation rate, which removes the volatile food and energy sectors, climbed 6.6% year-over-year in September, up from 6.3 percent in August. The month-over-month core CPI rose another 0.6% in September.

The September CPI report was driven by soaring food and shelter costs. The food index surged 11.2%, but grocery store prices spiked 13%. The shelter index rose 6.6%, and rents spiked 6.7%.

Meanwhile, the energy index eased to 19.8%, new vehicles rose 9.4%, used cars and trucks jumped 7.2%, apparel advanced 5.5%, and medical care commodities and services jumped 3.7% and 6.5%, respectively. Transportation services soared 14.6%.

On the labor front, initial jobless claims increased by 228,000 for the week ending October 8, topping economists’ expectations of 225,000. Continuing jobless claims edged up to 1.368 million, while the four-week average, which strips the week-to-week volatility, swelled 211,500.

To close out the trading week, retail sales, business inventories, trade prices, and the University of Michigan’s Consumer Sentiment Index data will be released.

Despite the initial selloff, the leading benchmark indexes turned the sinking ship around and ignited a monster rally.

This affected the greenback as the US Dollar Index (DXY) tumbled 1.01% to 112.19, from an opening of 113.32. The index is poised to trade relatively flat this week, but it is still up nearly 17% year-to-date.

The USD/CAD currency pair declined 0.69% to 1.3722, from an opening of 1.3818, at 13:47 GMT on Thursday. The EUR/USD advanced 1.00% to 0.9800, from an opening of 0.9705.