BLS Scraps October CPI Report, Leaving Fed in the Dark on Key Inflation Data
The Bureau of Labor Statistics (BLS) will not release October's Consumer Price Index (CPI) due to disruptions caused by the government shutdown. Originally scheduled for November 7, the absence of this critical inflation metric leaves the Federal Reserve without key data ahead of its December 9-10 FOMC meeting. November's CPI, now delayed to December 18, will arrive too late to inform the Fed's immediate policy decisions.
Rate cut expectations have surged despite the data gap. New York Fed President John Williams, a close ally of Chair Jerome Powell, recently endorsed easing, pushing odds higher for a 25 bps reduction. This contrasts with Powell's earlier caution during the shutdown-induced information blackout. The FOMC remains divided, with five members leaning toward cuts and five against, while Powell and the Vice Chair's stances remain unclear.
