A note via Bank of America economists on expectations and wariness on US October CPI data due Wednesday at 8.30 am US Eastern time.
BoA expect core CPI to show an increase of 0.3% m/m month
- holding at 3.3% y/y
- would be the third consecutive month with a 3.3% core reading
BoA say that looking ahead, the rise is inflation tilted to the upside:
- "We see pro-growth fiscal policy, tariffs, and tighter immigration as potential sources of upside inflation risk over the coming years if they are implemented"
Higher inflation to come would slow/halt/reverse (you can pick more than one ;-)) Federal Reserve rate cuts.
