According to a report from CITIC Securities, U.S. inflation in April remains relatively high, with rising housing costs driving core inflation higher, especially against the backdrop of ongoing tensions in the Middle East. The firm pointed out that high inflation continues to erode household purchasing power, with low-income families facing more severe cost pressures, and real wages have for the first time in three years returned to year-over-year decline. CITIC Securities assesses the risk of secondary inflation as relatively low but warns that higher oil prices will limit further inflation decline this year. The company maintains its baseline forecast that the Federal Reserve will cut rates by 25 basis points in 2026.