Institution: Short-term risks of U.S. CPI data remain tilted to the upside

ChainCatcher news, Anthony Willis, a senior economist at Columbia Threadneedle Investments, pointed out that although the inflation situation in the United States is relatively mild, the current level is still significantly above the Federal Reserve's 2% target, and short-term risks still lean towards the upside.

He stated, "The current data will keep the Federal Reserve in a 'wait-and-see' mode during the release of the CPI data in July and August, until the next meeting on September 17." By then, the Federal Reserve should be able to more clearly assess the transmission effects of tariffs on inflation and obtain more corroborative data regarding labor market weakness. Willis believes that inflation is likely to move towards 3%, but given the dual mandate, the Federal Reserve may still deem it necessary to cut interest rates later this year.