Hi HODLers,
August US CPI was once again quite high but is most likely confirming the upcoming September FED Cut Rate.
US Core came in at 2.9% YoY as expected. The Consumer Price Index for All Urban Consumers (CPI-U) was hotter than expected and came in at 0.4% MoM vs 0.3% expected.
So far, we do no really see extreme inflation following the April Tariffs. It looks like the most important impact of the tariffs might have been on the number of people companies have been hiring over the past few months.
People losing their jobs and therefore the number of job seekers has increased again in August and is reaching scary levels.
In my opinion, 25bps cut is locked in. Could they go to 50bps? Maybe, probably not though...