The annual rate of inflation in the US is expected to fall slightly in October although economists suggest the core figure will rise by a similar amount.
Analysts expect the inflation rate to fall for the fourth month in a row to 8.1% in October from 8.2% in September, which was the lowest figure for seven months, continuing its marginal declines of the past few months. The monthly increase is seen at 0.7%.
But once food and energy prices are stripped out the core inflation rate is expected to show a small increase to 6.7% after September’s advance to 6.6% with a monthly rise forecast of 0.7%.
Equity markets and analysts will be hoping that the Fed’s aggressive rate hiking strategy is feeding through to lower inflation which has proved a stubborn opponent so far.