El-Erian Warns: CPI Data Key Ahead of Fed Rate Decision

According to Mohamed A. El-Erian, the upcoming U.S. Consumer Price Index (CPI) data is crucial ahead of the Federal Reserve's rate decision.

The consensus forecasts call for a 0.4 percent monthly increase in headline inflation, which translates to an annualized rate of 3.4 percent.

However, El-Erian stresses that core inflation is particularly significant, and any result above 0.2 percent would likely have a strong impact on policy expectations.