Morgan Stanley: Expects the U.S. April CPI data to be quite hot

According to Jinshi News, Matt Hornbach, the global macro strategy chief at Morgan Stanley, stated that the U.S. inflation data for April is expected to be quite "hot," which will be the first in a series of data this week and will ultimately constitute the core PCE price index that the Federal Reserve is most concerned about.

Hornbach pointed out that companies may not necessarily pass on inflationary pressures to consumers, and currently, companies are facing pressures such as rising energy costs and the costs of building AI infrastructure. Therefore, the bank still predicts that the Federal Reserve will maintain interest rates unchanged this year.