A little supplement:
The data was released in line with expectations, and short-term inflation was also reduced in line with expectations. To be honest, this data is conducive to the advancement of interest rate cut expectations, but Powell also mentioned in his previous speech that the reduction in inflation was within the Fed's expectations, which blocked the expected reduction in core PCE to promote the pace of interest rate cuts.
So the more important thing about this data is how the market interprets it and the trend of the US stock market.
At present, Bloomberg's first-time interpretation is positive. Swaps show that the interest rate cut in 2024 will be 45 basis points, which is basically equivalent to 2 interest rate cuts. At the same time, the probability of a rate cut in September has increased by more than 50%.
The rest of the time is to see how the US stock market will guide the market at 21:30.
It should be noted that today's cottage market is relatively active. If the US stock market opens later and does not bring an increase, I don't know whether the cottage market will respond to this optimistic expectation of loss in the first time. At the same time, it depends on whether Ethereum's ETF can help stabilize the market.
Wait patiently for the opening of the US stock market.
