Inflation has never exerted such great pressure on the Fed as it does now!

Recently, the US April CPI was announced at 3.8% – the highest since May 2023. Core CPI also increased to 2.8%, the highest in 8 months.
Less than a year ago, the market still expected the Fed to cut interest rates aggressively. But now, as inflation unexpectedly heats up again, the Fed is truly caught in a dilemma: unable to quickly cut rates, but also hesitant to raise rates when the economy shows signs of slowing down and the geopolitical and geopolitical situation is becoming increasingly complex.
Jerome Powell previously warned about this “trap.” And the latest data clearly shows that the Fed is indeed in this difficult situation.
We are witnessing a fierce battle between controlling inflation and maintaining economic growth.
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