Managing partner and Chief Investment Officer of the Armstrong Advisory Group, Chuck Zodda breaks down this week's financial news including the CPI Inflation report.

Consumer Price Index showed an acceleration to 2.9%, the highest rate since July. With such high inflation, the Fed is unlikely to cut rates in January.

There have been some troubling signs of inflation expectations picking up. The University of Michigan’s gauge of consumer expectations for price rises over the coming 5 to 10 years jumped to 3.3% in the preliminary January reading -- the highest since 2008. Now, politics was at play there: Democrats’ inflation expectations exploded, while those of Republicans tumbled. But it goes to show the nervousness about Trump’s agenda on the part of many Americans.