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Institutions: Strong inflation may endanger the Federal Reserve's December interest rate cut expectations

According to online reports, Brent Donnelly, president of foreign exchange trading firm Spectra Markets, said higher-than-expected inflation in October will force traders to reassess whether the Federal Reserve will cut interest rates again next month. Otherwise, Wednesday's data will be bland,"but the only outcome that can really boost the macro economy will be a significant unexpected upside," Donnelly wrote. "This would put the December Fed interest rate cut at risk and put Trump's starting point for inflation risk at a higher level." Economists surveyed by The Wall Street Journal expect data to show a 0.2% month-on-month rise in October, and a 0.3% rise in core CPI excluding food and energy prices.

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