🚨【CPI data will be released at 21:30 tonight! Monthly and annual rates are lower/higher than expected, affecting the possibility of the Fed's interest rate cut】🚨
At 21:30 tonight, the CPI data for December 2024 will be released! 📊 This data is directly related to the Fed's monetary policy and may even affect our future interest rate level! So if the data is lower or higher than expected, what impact will it have on the Fed's interest rate cut? Let's take a look! 👇
1⃣ CPI monthly rate is higher than expected
🔥 Inflationary pressure continues!
If the monthly rate tonight is higher than expected, it means that price increases have not slowed down and inflation is still high! At this time, the Fed may continue to maintain the current high interest rate, and there is almost no hope of a rate cut. 💸
2⃣ CPI monthly rate is lower than expected
✨ Short-term slowdown, expectations of rate cuts are rising!
If the monthly rate is lower than expected, it may be that the short-term pressure of inflation has eased! This will make the market begin to expect that the Fed may cut interest rates, especially in the case of an economic slowdown, the possibility of a rate cut increases. However, the monthly data fluctuates greatly. Whether it will continue depends on the next data! 👀
3⃣ CPI annual rate is higher than expected
🔥 Inflation pressure is still stubborn!
If the annual rate is higher than expected, it means that inflation is still not effectively controlled. The Fed may continue to maintain the current high interest rate, and the possibility of interest rate cuts is very low, which will cause a lack of market liquidity⚠
4⃣ CPI annual rate is lower than expected
🌟 Inflation is slowing down, and expectations of interest rate cuts are rising!
If the annual rate is lower than expected, it means that inflation is slowing down, which provides more room for the Fed to cut interest rates! Especially when economic growth slows, the possibility of interest rate cuts will increase greatly, which means that loan interest rates may fall and usher in an interest rate "spring"! 🌷
🔔 Summary: Tonight's CPI data has a huge impact on the Fed's future policies! Lower than expected may stimulate expectations of interest rate cuts and help economic recovery; higher than expected may mean that high interest rates may be maintained and inflation control is still tight! 💥
💬 What do you think of tonight's CPI data? Do you think the interest rate cut will come faster? Chat in the comments! 👇
