The consumer price index (CPI) for October increased 0.4% sequentially and 7.7% over the last 12 months. This report has raised hopes that inflation is finally cooling.
However, it is far from the 2% target of the Fed. Although the pace of rate hikes might slow down, they are expected to continue for now. Moreover, the global economic outlook has soured. A Reuters poll showed that economists had downgraded their growth forecasts for key economies.
