Dow falls more than 400 points after January inflation surprise

Prices rose 0.3 percent from December to January and were up 3.1 percent from the same period a year ago .

Economists polled by The Wall Street Journal had predicted a 0.2 percent monthly increase and a 2.9 percent annual increase.

The Dow Jones Industrial Average dropped nearly 450 points after the new data was released.

The Fed signaled in December that it would cut interest rates this year but has not specified when.