Wednesday’s CPI release will be the last big economic data the Fed receives before its December meeting on 17-18. The US inflation data release date for November 2024 CPI numbers is December 11, 2024, at 8:30 A.M. Eastern Time. Therefore, all eyes will be on the Federal Reserve’s FOMC meeting next week. Fed Chair Powell has repeatedly stated that incoming economic data will heavily influence interest rate decisions.
The previous month’s data showed that inflation remained a concern for the US Federal Reserve.
In October, the annual US CPI rose by 2.6%, following a 2.4% increase in September. The October’s core inflation saw an increase of 3.3%.
Will the November US CPI data throw a surprise for the markets and Powell remains to be seen?
In November, the market predicts a 0.2% monthly increase in the US CPI, and an annual inflation rate slightly rising to 2.7% from 2.6% in October. The core-inflation in November is expected to remain at 3.3%.
If there is a significant increase in November US inflation data, FOMC may have to decide to pause cutting rates. The US Fed has already cut rates by 75 bps in the previous two meetings. The Fed cut its interest rate by 50 bps in September and 25 bps in November’s FOMC meeting.
The S&P 500, Nasdaq 100, and Dow 30 have all experienced large gains so far in 2024. Will the Santa Clause surge in 2024 happen, only time will tell.