Ella Jersey: December CPI data brings the possibility of a Fed rate cut in March into consideration

According to Jinshi reports, market analyst Ella Jersey stated that the comfort brought by the lack of a substantial rise in U.S. inflation has led to blind optimism in the market and pushed bond yields higher. The overall CPI year-on-year increase is 2.7%, which means the core PCE annual rate will be below 2.5%, clearing the way for the Federal Reserve to adopt a more moderate stance. Although it is still not considered a certainty that there will be a rate cut in January, this undoubtedly formally includes the possibility of a rate cut in March into consideration.