CPI data could push silver to new record highs. Stubborn inflation above Fed’s 2% target and supply-demand imbalance support bullish price prediction.

U.S. consumer prices likely accelerated in December as some of the distortions related to the government shutdown that had artificially lowered inflation in November unwound, which would ​cement expectations of the Federal Reserve leaving interest rates unchanged this month.

Inflation cooled for a second straight month in December as the headline figure for the Consumer Price Index came in at 2.68% year-over-year.

Investors got their best look at inflation data after the government shutdown muddied the November consumer-price index. The December CPI report, which was released on Tuesday, showed that inflation ticked 0.

Economists expect the December CPI inflation report to show price growth remained elevated and cautioned it may have a downward bias due to missing data from the government shutdown.

The bitcoin price briefly rose above $92,700 after December U.S. CPI came in at 2.7% year over year, matching expectations and keeping markets focused on the Fed’s policy outlook.

December's core CPI increase was below forecasts at 0.2%, alleviating pressure on the Fed and pointing to steady monetary policies.