US Inflation Remained High in October, Putting Pressure on the Fed to Raise Rates

US inflation remained high in October, at 7.7% year-over-year, putting pressure on the Federal Reserve to continue raising interest rates.

The Consumer Price Index (CPI), a measure of inflation, rose 0.4% in October from September, and 7.7% over the past 12 months. This was the smallest year-over-year increase since January, but still significantly above the Fed’s target of 2%.

The core CPI, which excludes volatile food and energy prices, rose 6.3% in the past 12 months and 0.3% from September.

The Fed has been raising interest rates in an effort to cool the economy and bring inflation under control. However, the central bank has also been wary of raising rates too aggressively, as this could lead to a recession.

The October inflation data is likely to put additional pressure on the Fed to continue raising rates at its next meeting in December.

**Image description:** A graph showing the US inflation rate over time, with the red line representing the year-over-year rate and the blue line representing the core CPI.