Business · Economy · 5 hrs ago
US inflation data could bring Fed policy move forward, economist says
US consumer prices rose 3.7% over the year to September, above the 3.6% increase markets expected.
The monthly increase was 0.6%, up from 0.4% in August, with fuel prices affected by tensions in the Middle East and oil above $100 a barrel.
Inflation pressures also reached core prices, including used cars, education, health care, financial services and housing.
PicPay economist Matheus Pizzani said the figures could lead markets to expect a Federal Reserve move as soon as October.
The Fed is meant to pursue both stable prices and strong employment, but Pizzani said it appears focused on inflation; the latest jobs report showed 29,000 jobs added and unemployment at 4.2%.
The Fed's next decision will weigh inflation against employment, and the sources say the October meeting is a possible point for action.
US consumer inflation data for September has raised concern that the Federal Reserve may need to act sooner, economist Matheus Pizzani said.
Annual inflation was 3.7%, above the 3.6% market consensus, while the monthly rate was reported at 0.6%, up from 0.4% in August.
Pizzani said higher fuel costs and price increases in core categories, including housing and services, added to inflation concerns.
He said markets could expect a policy adjustment as soon as the Fed’s October meeting.
The article says a recent jobs report showed 29,000 new jobs and unemployment at 4.2%.
- Who
- Economist Matheus Pizzani of PicPay said the inflation figures could prompt earlier Fed action.
- What
- September US inflation data raised expectations of a policy adjustment sooner, potentially at the October meeting.
- When
- The data covered September; the article was published on October 18, 2026.
- Where
- United States.
- Why
- Annual inflation exceeded market expectations, while fuel costs and core inflation components remained concerning.
This story does not have two clearly opposing sides.
US consumer inflation data showed an annual rate of 3.7%, above the 3.6% consensus.
Pizzani said the data could lead markets to expect a Fed policy adjustment as soon as the October meeting.
- Annual inflation
- 3.7% in September, compared with a 3.6% market consensus
- Monthly inflation
- 0.6% in September; 0.4% in August
- Economist
- Matheus Pizzani of PicPay
- Potential policy timing
- October Fed meeting
- Jobs added
- 29,000 in the latest report, versus market expectations of more than 80,000
What people are saying
A figure with this negative composition forces the market to believe this adjustment is coming sooner, potentially at the October meeting.
The labor market is cooling, but without the number of layoffs increasing at the same time.