A Fed hike next week seems certain after the latest inflation data. Here's what's ahead
The latest inflation data failed to soothe fears that pricing pressures will be coming down anytime soon.
TL;DR
- Inflation remains a concern, with the latest data showing the annual rate at 3.4%, exceeding the Fed's 2% target.
- Federal Reserve Chairman Kevin Warsh is expected to implement a quarter-point rate hike at the upcoming policy meeting.
- Rising oil prices and geopolitical tensions are adding to inflationary pressures.
- The market is closely watching upcoming economic data releases to gauge the Fed's next moves.
- There's a nearly 50% chance of rates reaching 4% to 4.25% by the December meeting, implying two more quarter-point hikes.
- The Fed's credibility hinges on its commitment to fighting inflation.
- Key economic events in the week ahead include employment data, retail sales, and housing market indices.