High inflation figures this week could prompt the Federal Reserve to raise interest rates at its next meeting on October 28-29, according to some economists. For now, most Wall Street traders expect the central bank to keep its short-term rate unchanged, but the odds of a rate hike at the Fed’s December meeting jumped to 74.3% from 50.2% a month ago, according to CME FedWatch, which tracks Fed funds futures prices.

Fed Chairman Kevin Warsh gave no indication on possible changes to interest rate policy as he attended a meeting of financial leaders in Bangkok on Friday. The Fed increased rates at its last meeting in September, raising the federal funds rate to between 3.75% and 4%, its highest level since December 2025.