Fed's 85% Rate Cut Odds Face Reality Check as July CPI Report Looms
Key Points
- The Fed faces pressure as rising inflation threatens Septemb...
The Federal Reserve is walking into August like a poker player who's been raising all night, only to discover everyone else might be holding better cards. July's Consumer Price Index report drops soon, and it's threatening to turn the Fed's 85% probability of September rate cuts into the financial equivalent of a participation trophy.
MUFG analysts are essentially playing the role of that friend who warns you the ice is thin before you step on it. They're pointing out that inflation has been creeping back up faster than expected, partly thanks to tariffs acting like that unwelcome guest who k...
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