US inflation heats up across the board, market ramps up bets on Fed rate hikes

Odaily report: Driven by the rebound in fuel prices amid the Iran war, the US September unadjusted CPI annual rate rose to 3.7%, further intensifying cost-of-living pressures on Americans as the November midterm elections approach. The unadjusted core CPI annual rate climbed from 2.4% in August to 2.6%. Following the data release, US Treasury yields jumped, international gold and silver prices plunged, the dollar index strengthened, and the market increased its bets on three more Fed rate hikes before the end of 2027. The data released by the US Bureau of Labor Statistics marks the first rebound in US inflation since May, underscoring that the energy price shock triggered by the Middle East war continues to weigh on the world's largest economy. After the war broke out, gasoline and diesel prices spiked, then retreated somewhat over the summer, but in recent months, as tensions escalated, fuel prices rose again, pushing diesel prices to a record high. US President Trump has been trying to contain the impact of rising energy prices. Polls show that voters dissatisfied with the status quo may channel their frustration toward Republicans in next month's midterm elections, which will determine control of Congress. (Jinshi)