The latest inflation report came in slightly hotter than expected, knocking stock prices lower.
But the odds of a quarter-point Fed rate cut in November actually rose after the report came out.
"CPI Inflation data was slightly on the hotter side, with commodity prices (outside) energy rising more than expected.
The good news is that shelter inflation is pulling back and that's going to pull inflation lower.
Investors received fresh labor market data Thursday as well, with initial jobless claims jumping by 33,000 to 258,000.
Persons:
Dow Jones, Sonu Varghese, Goldman Sachs, Whitney Watson, Ian Lyngen, Stephen Tusa
Organizations:
CPI, Reserve, Carson, Investors, BMO Capital Markets, JPMorgan, Honeywell