Institutional analysis: Good U.S. inflation data does not give the green light to the Federal Reserve to cut interest rates
According to online reports, BMI chief economist Cedric Chehab said that the latest U.S. inflation data seems to have improved, but the signal that the Federal Reserve will resume interest rate cuts has not yet sounded unless U.S. economic growth is hit. He pointed out that a large part of the slowdown in inflation is due to falling commodity prices in recent months. The Trump administration's huge tariffs on goods could quickly lead to higher prices, meaning goods will once again fuel inflation, making it difficult to predict near-term inflation. It will also be difficult to get the Fed to provide appropriate guidance. (Jin Shi)
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