Inflation is proving stickier than expected, which could cause Fed to hit pause button on more interest rate cuts.

Consumer Price Index showed an acceleration to 2.9%, the highest rate since July. With such high inflation, the Fed is unlikely to cut rates in January.

Analysis of CPI inflation data shows mixed results for December 2024, impacting Fed rate decisions and stock market performance in 2025. Read our full outlook on Seeking Alpha.

Take a look at how various financial markets are trading following the release of December's consumer-price index: stock futures, Treasury yields, the dollar, gold and Brent crude oil.

Disinflation in key areas of consumer prices should help the Federal Reserve stick to its policy path of gradual cuts to interest rates.