The inflation indicator favored by the Federal Reserve, the core PCE annual rate, rose to 2.8% in October as expected, indicating that although prices have shown some slowdown, they remain sticky. The core PCE annual rate continues to hover close to 3%, rather than 2%, complicating the decisions the Federal Reserve is about to make. In September, in response to signs of an economic slowdown, the Federal Reserve cut interest rates for the first time, initiating a rate-cutting cycle. However, progress on inflation has stalled in recent months, making it possible for the Federal Reserve to pause rate cuts at its two meetings in December or January next year. (Jin Shi)