Consumer Price Index showed an acceleration to 2.9%, the highest rate since July. With such high inflation, the Fed is unlikely to cut rates in January.

Federal Reserve Bank of Richmond President Tom Barkin said fresh data show continued progress on lowering inflation toward the central bank’s 2% goal, but that interest rates should remain restrictive.

Analysis of CPI inflation data shows mixed results for December 2024, impacting Fed rate decisions and stock market performance in 2025. Read our full outlook on Seeking Alpha.