“US Core CPI Rebounds, Fed May “Stop and Go” Amid Inflation Stickiness

According to BlockBeats, on September 12, CICC Research Report stated that although the overall CPI in the United States continued to slow down, the core CPI rebounded for the second consecutive month on a month-on-month basis, especially rent and core service inflation (supercore) still attracted market attention. This inflation data basically locked in the Federal Reserve’s 25 basis point interest rate cut in September, but did not support a substantial easing. The baseline scenario is still a soft landing of the US economy, but this time with the stickiness of inflation, the Federal Reserve may “stop and go” in its interest rate cuts. This also means that the current market pricing for a substantial interest rate cut may be overly aggressive, and there is a risk of adjustment in the future. (Jinshi)

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