The CPI data for October released earlier this month showed signs of a slowdown in inflation. In response to cooling inflation, the recently released minutes from the Federal Open Market Committee’s (FOMC) November meeting indicated agreement among Fed officials about slowing interest rate hikes soon.
With investors resetting their expectations for the pace of rate hikes by the Fed, the stock market rallied this month, with the S&P 500 climbing more than 2.6% over the past month and the Dow Jones gaining 3.7%. While the recent stock market rally seems to be on shaky ground, Deutsche Bank strategist Binky Chadha said the market rally isn’t over yet.
