Food prices also continued to see notable growth in October, advancing by 0.9 percent for the second consecutive month. "Strong demand and constrained supply will drive inflation higher in early 2022 which could lead the Fed to raise rates earlier than our December 2022 forecast," said Kathy Bostjancic, Chief U.S. Financial Economist at Oxford Economics. A separate report released by the Labor Department on Tuesday showed U.S. producer prices increased by slightly more than anticipated in the month of October.