Futures Trim Gains as Consumer Inflation Exceeds Expectations
Concerns Rise as Consumer Inflation Data Surprises
U.S. stock index futures have pared gains after the release of a hotter-than-expected consumer inflation reading. This unexpected data has deepened worries about the Federal Reserve keeping monetary policy restrictive for a prolonged period.
Inflation Rises Above Economists’ Predictions
In September, consumer prices rose by 0.4%, exceeding the 0.3% rise expected by economists polled by Reuters. The core Consumer Price Index (CPI), which excludes volatile food and energy prices, grew by 0.3%, in line with expectations.
Annual Figures Reflect Inflationary Pressure
On an annual basis, the headline figure rose by 3.7%, surpassing the expected 3.6% growth. Similarly, the core figure rose by 4.1%, aligning with estimates.
Jobless Claims Show Slight Increase
Another set of data revealed that weekly jobless claims rose by 209,000 for the week ended October 7th, slightly lower than the estimated rise of 210,000.
Market Reaction
At 8:35 a.m. ET, futures were up 66 points, or 0.19%, while futures were up 4.5 points, or 0.1%. Additionally, futures were up 3 points, or 0.02%.
