STORY: The publication of major U.S. economic data, including employment and inflation reports of critical importance to policymakers and investors, will be suspended indefinitely should the federal government shut down at the end of this week because of lack of funding, a government official said.
The suspension of the reports could leave Fed policymakers in the dark as they attempt to make key decisions.
As a result, says Stovall, "The Fed would probably end up skipping the hike in November, wait until December. By then, we could end up seeing the economy slow to the point where the Fed might say, 'We've done all that we need to do.' So the market could react favorably to that situation."