For much of this year, many experts, banks, and economists have discussed the possibility of a mild recession prompting the Federal Reserve to cut interest rates, which would trigger a risk-on rally for stocks.

But as more data has started to pour in, whether related to the labor market or the Consumer Price Index (CPI), more doubt is now being cast on this thesis. Many people are now worried that inflation might be stickier than initially thought, and the Federal Reserve may need to raise interest rates to levels higher than expected.

Tomorrow, more economic data will come out that will continue to shape this narrative. It could be a huge day for the stock market. Here's why.

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Source Fool.com