US Inflation Slowdown Boosts Odds of Further Rate Cuts

A recent report from the US Bureau of Labor Statistics revealed that inflation in the United States slowed more than expected in September, potentially giving the Federal Reserve more room to cut interest rates at its upcoming meeting next week. The core Consumer Price Index rose by 0.2% compared to August, falling short of previous expectations. Year-over-year, inflation reached 3% in September, up from 2.9% in August. Reports suggest that these figures may lead investors to consider an additional rate cut in December if no new data emerges next month.

The core Consumer Price Index, which excludes volatile food and energy components, increased by 0.2% from August, a rise that was lower than prior expectations. The report was scheduled for release on October 15 but was delayed due to the ongoing partial government shutdown. Year-over-year inflation in the United States stood at 3% in September compared to the same period last year, up from 2.9% in August. The numbers came in slightly below economists' forecasts, who anticipated a monthly increase of 0.4% and a year-over-year rate of 3.1%. Some policymakers indicated that this unexpected inflation reading could be...