Wells Fargo: U.S. inflation expected to remain above Federal Reserve target

Sarah House and Aubrey Woessner of Wells Fargo have written that inflation in the United States is likely to remain above the Federal Reserve's 2% target for now. The Consumer Price Index for October, to be released next week, "may show that progress in removing that last bit of inflation is still frustratingly slow". They forecast overall CPI growth of 0.2% in October, the same as the September increase, bringing the annual rate from 2.4% to 2.5%. Core CPI is expected to increase 0.3% for the third consecutive month, keeping the annual rate at 3.3%. House and Woessner added that Trump's proposed policies could put pressure on price increases and extend the time it takes for inflation to return to the Fed's target.