Shutdown Adds Twist to September CPI Release as Fed Weighs Next Rate Cut
The September inflation report, due this Friday, arrives amid a government shutdown that has frozen most federal data releases. This leaves the Federal Reserve with limited economic insight ahead of its critical October 29 policy meeting.
No other major reports—including jobs and retail sales data—will be published until the shutdown ends. The CPI release, occurring just five days before the Fed meeting, breaks from convention. Typically, CPI data is released 1-2 weeks prior to FOMC meetings, allowing policymakers time to analyze trends.
The unusual timing has fueled market speculation. 'Something unusual is happening this week,' noted Adam Kobeissi, highlighting the proximity of the CPI release to the Fed's decision deadline. Friday releases are rare; the last occurred in January 2018.
