Traders generally expect that this week's CPI results will not cause significant market fluctuations

ChainCatcher news, this Wednesday, the U.S. will release the latest CPI data. Options traders generally expect that market volatility will be lower than previously anticipated on CPI day.

As inflation declines towards the Federal Reserve's target and the Fed prepares to cut interest rates, this data has become less significant for the stock market. Instead, everything is related to the weakness in the labor market and whether the Fed can avoid a hard landing.

Eric Diton, President and Managing Director of Wealth Alliance, stated that the key question for stock market investors is whether the Fed has waited too long to cut rates, as the risk of recession is higher now than it was two months ago, and suddenly, inflation is no longer a major concern.