The Consumer Price Index (CPI) report for October came in lower-than-expected, increasing 7.7% from a year ago and 0.4% sequentially. Dow Jones estimates were 7.9% and 0.6%, respectively. Although inflation remains well above the Fed’s 2% target level, it certainly shows signs of cooling down.
“It’s pretty clear that inflation has definitely peaked and is rolling over. All the trend lines suggest that it will continue to moderate going forward, assuming that nothing goes off the rails,” said Mark Zandi, chief economist at Moody’s Analytics.
