All attention shifts to US inflation data

Inflation in the US is expected to moderate in September. In an otherwise quiet week for economic data releases, everyone’s attention will be focused on U.S. inflation figures. In September, CPI growth may have appeared a little better; economists anticipate a deceleration to a 3.5% year-over-year pace from 3.7% in August.

Policymakers at the Fed will place more emphasis on “core” indicators that are more likely to be influenced by domestic economic circumstances than by external variables like changes in oil prices. These actions have also significantly slowed down.

According to economists, price growth excluding food and energy products would slightly slow in September from 4.3% in August to 4.0%.

The Fed won’t think twice about responding with higher interest rates in order to slow the economy and contain inflation.