Hot inflation data puts another Fed rate hike in play as mortgages near 7.4%

United States consumer inflation accelerated to 3.7% year over year in September, and wholesale prices jumped sharply with the Producer Price Index rising 6.3%. The hotter-than-expected price pressures, fueled primarily by elevated energy costs and Middle East conflict, have triggered a market sell-off and stoked expectations that the Federal Reserve will raise its benchmark interest rate again at its upcoming policy meeting. The prospect of prolonged borrowing pressure comes as 30-year mortgage rates stand around 7.4%, threatening to extend high credit costs for American households and dampen credit-dependent small businesses. Policymakers now face the challenge of taming stubborn price growth without tipping broader economic growth into contraction. Also in this briefing: Homan says Rep. Ilhan Omar could face denaturalization and deportation; Truck plows onto Wichita youth soccer field, killing a 6-year-old and a man; DOJ settlement forces sweeping police reforms in Lexington, Mississippi.

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