The probability of the Federal Reserve cutting interest rates in September reaches 80%, with strong market expectations

According to news from HashiChain, after the CPI data met expectations, U.S. Treasury prices rose, and the dollar significantly fell against a basket of currencies, prompting traders to raise their expectations for a rate cut in September. Following the release of the CPI data, yields on U.S. Treasuries across various maturities generally fell, with the two-year Treasury yield leading the decline, down 6 basis points to 3.71%. Traders increased their bets on a rate cut by the Federal Reserve, expecting a probability of over 80% for a 25 basis point cut at the meeting on September 17.