September CPI YoY rose 3.7% and core CPI YoY 2.6%, well above the Fed's 2%
target. Strong consumer spending, supported by low unemployment and higher
equity prices, has helped firms pass rising costs to households. Regions
Financial chief economist Richard Moody said supply-side shocks — including a
Strait of Hormuz closure, tariffs and sectoral labor shortages — are the
principal drivers, and added, "Ultimately, it's a supply-side problem."
