🇺🇸 US inflation exceeds forecasts: what can markets expect?

The US Consumer Price Index (CPI) rose 0.4% in October, month over month, instead of the expected 0.3%. Core inflation (excluding food and energy) also accelerated to 0.3%, compared with a forecast of 0.2%.

Key takeaways for traders:

-Fed policy: Rising prices increase the risk that the central bank will keep interest rates high for longer.

-Volatility: Sharp swings are expected in the dollar, stocks, and bond yields.

In the current environment, it’s important to follow strict risk management and avoid entering the market emotionally.