Analysis: The market has fully absorbed the expectations of three rate cuts of 25 basis points each before the end of the year.

On September 12, the trading information platform Kobeissi Letter pointed out that the market currently expects interest rates to be cut by a total of 75 basis points by the end of the year. Despite the consumer price index (CPI) inflation continuing to rise, the labor market is too weak to ignore. Meanwhile, the 10-year U.S. Treasury yield has officially fallen below 4.00% for the first time since April 4, and the market has fully digested the expectation of three rate cuts of 25 basis points each before the end of the year.

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