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Soft Inflation Reports Could Open Door for Fed Cuts Soon -- Market Talk

Dow Jones01-13

0913 ET - The Fed may find room to resume interest-rate cutting soon if upcoming inflation reports repeat December's soft tone, B. Riley Wealth's Art Hogan writes. Headline CPI was 2.7% and core was 2.6%, roughly in line with expectations. "This should give the Fed some breathing room to cut rates in Q1 if the trend continues," Hogan says. The Fed is widely expected to keep rates on hold this month. Treasury yields and the dollar fell after the inflation report, but they have recovered some ground. The 10-year is at 4.177% and the two-year at 3.533%. The WSJ Dollar Index rises 0.1%. (paulo.trevisani@wsj.com; @ptrevisani)

(END) Dow Jones Newswires

January 13, 2026 09:13 ET (14:13 GMT)

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