Investors will be keeping a close eye on Tuesday on the latest U.S. inflation data, which could have a major influence over the Federal Reserve‘s upcoming interest rate decision later on in the week.

Economists estimate that the May consumer price index (CPI) will rise by 4.1% on an annual basis, slowing from the prior level of 4.9%. Month-on-month, the gauge is seen increasing by 0.2%, decelerating slightly from 0.4% in April.

Meanwhile, the annual and monthly core CPI readings, which strip out volatile items like food and energy, are projected to climb by 5.3% and 0.4%, respectively.

The Fed has been raising interest rates for more than a year to combat elevated inflation, so today’s CPI print is expected to play a pivotal role in whether the central bank chooses to pause its policy-tightening campaign or hike borrowing costs yet again.

At 05:49 ET, there was more than 71% that policymakers will keep the fed funds rate steady at a range of 5.00% to 5.25%, according to Investing.com’s Fed Rate Monitor Tool. Meanwhile, the probability that the bank will unveil a 25 basis point increase stands at just over 28%.