October inflation readings out this week have shown little progress toward the Fed's two percent inflation target, putting into question how deeply the Federal Reserve will cut interest rates in 2025.

Chair Jerome Powell says the Federal Reserve will likely cut its key interest rate slowly and deliberately in the coming months, in part because inflation has shown signs of persistence and the Fed's officials want to see where it heads next.

Wholesale prices in the US rose last month, remaining low but suggesting that the American economy has yet to completely vanquish inflationary pressure. Thursday’s report from the Labor Department showed that its producer price index — which tracks inflation before it hits consumers — rose 0.

JPMorgan's trading desk gave a scenario outlook on how the market would respond to various monthly core CPI readings. The options market is pricing in a 0.7% move, either up or down, for the S&P 500, and a 1.6% move for the Russell 2000.

Stocks finished mixed Wednesday, as investors looked through a key inflation reading that could accelerate repricing of the so-called 'Trump Trade' and test the market's solid post-election rally. The Dow Jones Industrial Average gained 47.