Inflation rises 2.6% in October, in line with expectations
Published On Nov 13, 2024, 8:32 AM
The Labor Department reported that inflation in October rose by 2.6% compared to the previous year, consistent with economists' expectations. The Consumer Price Index (CPI) showed a 0.2% increase from September. Core prices, excluding food and energy, rose by 0.3% monthly and 3.3% annually. Rising costs in shelter and transportation are the main contributors to the inflation figures, indicating persistent pressure on household finances, especially for lower-income Americans who spend a larger portion of their income on necessities.
Stock Forecasts
XLP
Negative
Due to the persistent inflation, interest rates may remain elevated, impacting various sectors. Inflation pressures could keep consumer spending constrained, which might negatively affect consumer-driven companies. However, sectors that can pass on costs might see stability. Overall, the broad market sentiment could lean negative in the short term as the market absorbs this data.
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