Strong PPI data complicates the Federal Reserve's rate-cut path

Mars Finance News, according to Jintiao reports, the market has now priced in a greater than 30% chance of a rate hike before December. After the unexpectedly strong April PPI data in the United States, the market believes it will be even harder for the Federal Reserve to justify any rate cuts this year. The April PPI rose 1.4%, significantly higher than the economists’ consensus expectation of 0.5%, indicating inflationary pressures are stronger than expected and reinforcing the market’s trend of re-pricing the interest rate path.

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