How Will the US Inflation Data Affect the Markets?

When Will the US Inflation Data Be Released?

The inflation data for September in the US will be released on October 24, 2025, at 3:30 PM. Normally, this data is expected to be released in the first week of October, but it was delayed due to the federal government being closed. It is important to remember that this data is a critical indicator for the Fed's interest rate policy.

The Importance of Inflation Data

The inflation that measures the rise in consumer prices is one of the fundamental indicators considered in the Fed's monetary policy decisions. High inflation may require the Fed to keep interest rates high for a longer period; while decreasing inflation increases the likelihood of interest rate cuts. In addition, whether inflation has cooled down after the pandemic is another issue of concern for investors.

Effects on the Markets

The inflation data coming in above or below expectations can have significant impacts on many markets, including stocks, bonds, gold, currencies, and cryptocurrencies. It is predicted that the inflation data to be released on October 24 will be one of the last significant economic data points before the upcoming Fed meeting next week.

The latest data indicate that price increases have slowed compared to August data; however, they are still at a high level. Monthly inflation is expected to rise by 0.4%, with the annual rate rising from 2.9% to 3.1%. At this point, the released data will shape the Fed's decisions regarding interest rate cuts.

Employment Data and Interest Rate Cut Expectations

Following weak employment data recently, it is expected that the Fed, which implemented the first interest rate cut of the year, will also make a 25 basis point cut at the meeting on October 29. However, the outcome of the inflation data, which affects this situation, is of great importance. An inflation rate above expectations could be seen as a risky factor for the Fed's monetary policy.

In conclusion, with the release of this economic data, investors' attention is focused on this critical development. The reaction of the markets to the decisions to be made is eagerly awaited.