I don't think the initial market drop to the inflation numbers...

I don't think the initial market drop to the inflation numbers was by the not well educated; as the inflation numbers were actually slightly worse then estimated and justified the initial drop. The bounce back in my view is simply the buying side investing more money then the sellers selling hence the change in direction from the intial drop. You find this quite often when markets are in a downturn as large investors try and recoup losses by flooding the market when news is dropped with the view catching out shorters. It's more to do with having lots of money to move markets then it is educated vs non educated.