CPI data will be determined this Thursday:
Now the market is waiting for the Fed to confirm the rate cut event, and Thursday will decide whether the big cake will return to 60,000 or 40,000!
Last week's non-farm payrolls report showed that the labor market has slowed down, so the June CPI data released on Thursday is an important key.
After the release of non-farm data last Friday, the swap market pricing increased bets that the Federal Reserve will start the first rate cut of the year in September. CME's FedWatch tool shows that the swap market expects the Fed to have a 71.6% probability of a 25 basis point rate cut in September.
Analysts believe that the June non-farm report has strengthened the market's expectations for a September rate cut, and this week's CPI report is expected to be another confidence booster.
