US inflation accelerated in September, increasing expectations the Fed could
lift rates again in December. The Bureau of Economic Analysis said the PCE price
index rose 0.5% MoM and 3.6% YoY in September; core PCE rose 0.3% MoM and 3.1%
YoY. Inflation remains above the Fed’s 2% target. Fed officials voted 10-2 to
leave rates unchanged this week, with two dissenters favoring a hike; investors
expect a December increase and the possibility of multiple hikes next year.