According to BlockBeats, the market focus this week turned to inflation data, and the August CPI report will be released at 8:30 pm Eastern Time on Wednesday. Economists expect that the overall US CPI in August will slow down to 2.6% year-on-year from 2.9% in July.
Lower gas prices and stable food prices could help control overall inflation. If the forecast holds true, year-over-year CPI inflation will be the lowest since March 2021. Core CPI inflation, which excludes food and energy prices, is expected to fall to 3.2% year-over-year.
According to CME's "Fed Watch", the probability of the Fed cutting interest rates by 25 basis points in September is 70%, and the probability of cutting interest rates by 50 basis points is 30%. If inflation unexpectedly declines, expectations of a 50 basis point cut may rise.