The hotter-than-expected inflation numbers released last week have shown that the aggressive interest rate hikes enacted by the Fed are yet to be effective. The Consumer Price Index (CPI) increased 0.4% sequentially in September, beating the Dow Jones estimate of 0.3%. On a 12-month basis, inflation rose 8.2%.
Even after excluding the food and energy prices, already inflated by supply shortages due to geopolitical and macroeconomic uncertainties, the core inflation rose 6.6% year-over-year in September, the biggest 12-month increase since August 1982.
