After the release of the CPI data, the market increased its bets, expecting that the Federal Reserve will cut interest rates twice this year.

After the release of the U.S. CPI data, the market expects the Fed to cut interest rates by a cumulative 77 basis points in the coming year, and a cumulative rate cut of 48 basis points by December, compared with the previous expectation of a 67 basis point rate cut in the next year and a 42 basis point rate cut in December. Traders have ramped up their bets on the Fed to cut interest rates, largely expecting two cuts this year.