Prediction
José Torres believes a 2.9% inflation reading would clear the path for a Santa Claus rally.
Predicted By: José Torres, senior economist at Interactive Brokers on November 10, 2025
The Prediction Details
Full Prediction Statement
In fact, Torres believes that such a number would clear the path for a so-called Santa Claus rally.
Predictor
José Torres, senior economist at Interactive Brokers
Prediction Date
November 10, 2025
Prediction Published In
November's inflation report is the first to be released after the shutdown. Here's what to expect
Prediction Source
www.cnbc.comFulfillment Statement
By the end of 2025
The Prediction in Context
Source: www.cnbc.com
If the report were to show a 2.9% reading, it could offer some positive momentum in stocks heading into 2026. In fact, Torres believes that such a number would clear the path for a so-called Santa Claus rally. He also thinks it would have an impact on the interest rate outlook for next year – a period during which the Fed projects one rate cut. "It really would strengthen monetary policy easing expectations in the last inflation report – CPI report – of 2025 if we could keep inflation in the twos rather than it increasing up to the threes," Torres added.