Hot September US CPI Data Boosts Interest Rate Hike Bets

Key Facts

1September CPI data showed higher-than-expected inflation, causing market bets on interest rate hikes to soar.

The US Consumer Price Index (CPI) for September showed higher-than-expected inflation. Reuters reported that the data caused market bets on interest rate hikes to soar as inflationary pressures persisted more than anticipated.

The surprise beat challenged the previous narrative of cooling prices and lower rate hike odds, triggering a sharp repricing of expectations. This macro shift follows data from October 8, 2026, which showed US initial jobless claims at 197,000, while Mexico reported an annual inflation rate of 3.45% on the same day.