Inflation Slows in October as Prices Remain Flat, Stoking Hopes Fed May Pause Rate Hikes
-
CPI increased 3.2% year-over-year in October, down from 3.7% in September and lower than expected.
-
Prices were flat from September to October, the first time without an increase since July 2022.
-
Fed not expected to hike rates in December meeting due to slowing inflation, CME FedWatch tool shows only 1 in 20 chance.
-
Stock market rallied on CPI report, with Dow up 1.5%, S&P 500 up 2%, and Nasdaq up 2.3%.
-
Some Fed officials say future rate hikes still possible if needed to lower inflation further.