Bank of America said that October's CPI data that exceeded expectations almost determined that the Federal Reserve would raise interest rates in December, and there is a possibility of a single rate hike of 50 basis points. Overall CPI rose 0.4% month-on-month, and core CPI rose 0.3% month-on-month. The inflation data exceeded market expectations for the third month in a row. Bank of America currently estimates core PCE inflation of 3.3% year over year.

Bank of America said that October's CPI data that exceeded expectations almost determined that the Federal Reserve would raise interest rates in December, and there is a possibility of a single rate hike of 50 basis points. Overall CPI rose 0.4% month-on-month, and core CPI rose 0.3% month-on-month. The inflation data exceeded market expectations for the third month in a row. Bank of America currently estimates core PCE inflation of 3.3% year over year.