The PCE price index rose 3.6% year over year in September, up from 3.4% in August, while core inflation accelerated to 3.1%, both above the Fed's 2% target. The article notes NY Fed research found businesses and consumers absorbed nearly 90% of the economic burden of tariffs imposed in 2025, but argues the Iran war now plays a larger role: Brent crude averaged $114 per barrel in September, up $23 from August, and gasoline jumped 9.1%, accounting for more than half the rise in consumer prices. At the October 28 meeting, the Fed held rates at 3.75% to 4.00% in a 10–2 vote, with two members wanting another quarter-point hike after September's unanimous increase. Real disposable income fell 0.3% in September even as nominal consumer spending rose 0.5%. The article warns that AI infrastructure spending could approach $1 trillion annually by 2027, and heavily indebted firms like CoreWeave, with about $35 billion in debt and $640 million in quarterly interest costs, could face higher financing costs if rates rise.
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Related tickers and likely impact
QQQ
▼ Likely negativeInvesco QQQ Trust
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | ETF |
| Close on 10/30/2026 | 690.49 |
| Change that session | -3.47% |
SPY
▼ Likely negativeSPDR S&P 500 ETF
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | ETF |
| Close on 10/30/2026 | 755.71 |
| Change that session | -1.77% |
XAU/USD
▲ Likely positiveRelevance: medium
| Market | Gold |
|---|---|
| Close on 10/30/2026 | 3,875.51 |
| Change that session | -3.63% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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