Carson Group chief macro strategist Sonu Varghese said CPI came in hotter than
expected and is not solely fuel-driven. September core inflation annualized 3.7%
versus 3.2% over the past three years. Investors remain surprised by the breadth
of inflation. The full effects of higher diesel prices and the AI boom have yet
to be seen. The Fed is likely to hike again this year to around 4.3%, but that
may still be insufficient to bring inflation back to 2%.
