According to BlockBeats, Kevin Swift, a senior economist at ICIS Global Chemicals, has indicated that the latest U.S. Consumer Price Index (CPI) report will complicate the Federal Reserve's interest rate decisions. Despite this, Swift suggests that the Federal Reserve might consider a rate cut during its September meeting due to a weakening job market.
Swift noted that although wages increased by 3.9% year-on-year in August, the growth rate is slowing, which could undermine real income growth and consumer spending. Additionally, initial jobless claims have risen to their highest level since October 2021.
Swift remarked, "This could be the beginning of increased layoffs and a weakening labor market trend. The situation will become clearer in a week or two."