The Federal Reserve must understand inflation has been dealt with and stop raising interest rates, according to Jeremy Seigel, a closely followed finance professor at the University of Pennsylvania's Wharton School.
Seigel said on CNBC's "Halftime Report" that the market has rallied so far this year because investors see signs that inflation is coming back down.
He said Thursday's consumer price index report for December was a data point that could be taken, with some tweaks, to show inflation is a problem for the country that has been "solved."
"The Fed is, at some time, going to be forced to realize that we've really solved the inflation problem," Seigel said on "Halftime Report."
He called it a lagging data point, pointing to other data such as rental indexes that shows housing costs have actually come down .