Slower US inflation may trigger rate cuts, leading to positive market reaction.

From Investing.com: 2024-06-12 09:37:00

Inflation in America came out weaker than expected, sparking talks of a key rate cut. The Consumer Price Index showed 0.0% m/m and slowed to 3.3% y/y, lower than the forecasts. The core CPI, excluding food and energy prices, rose 0.2% m/m and slowed to 3.4% y/y, the lowest in three years. This data has eased concerns for the Fed, leading to expectations of 2 rate cuts this year. The probability of a rate cut in September has risen from 53% to 69%. Markets are responding positively, with a potential boost for equities on the horizon.



Read more at Investing.com: Slower US Inflation Clears the Way for a Rate Cut