USA inflation data disrupts market expectations? Federal Reserve officials reiterate: support 'gradual' rate cuts.
On Friday Eastern Time, Dallas Fed President Lorie Logan reiterated her view that interest rates should slowly move to a more normal level, using a "gradual" rate cut. According to cme Fed watch tool, as of the time of publication, the market expects a 10.5% probability that the Fed will not cut rates in November, while the probability of a 25 basis point rate cut is 89.5%.
US stock early trading | Differential trends in the three major indices, Nasdaq slightly down, tesla plummeted by more than 8%; large banks rose across the board, wells fargo & co rose by more than 5%, jpmorgan rose by more than 3%
US stocks opened with mixed gains and losses on Friday. The September PPI index remained flat, indicating mild inflationary pressure and raising market expectations for another rate cut by the Federal Reserve in November. Jpmorgan and wells fargo & co, among other large banks, released their financial reports, marking the beginning of the US stock earnings season.
Due to the decrease in rbob gasoline prices, the USA's September PPI remained flat compared to the previous month, further cooling down inflation.
Excluding the volatile food and energy categories, the PPI indicator rose by 0.2% month-on-month, in line with expectations and lower than the previous value of 0.3%. Institutional analysis indicates that the USA PPI remained unchanged in September, suggesting favorable inflation prospects and supporting the view that the Federal Reserve will cut interest rates again next month.
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Fed policymakers use 'megaphone' to speak out: Maintaining an open attitude towards no rate cuts in November.
① Atlanta Fed President Bostic reminded the market that if the data supports it, there may only be one interest rate cut in the last two meetings of this year; ② Bostic said: "If the data indicates that it is appropriate, then I can totally accept skipping the next meeting."
Express News | HSBC: Expects US bond yields to continue to fall in the coming months.
usa interest rate market overnight storm: inflation worries and interest rate cuts are hesitant!
For Wall Street traders, Thursday is undoubtedly a rather dramatic day: after a Federal Reserve voting committee member expressed the view of skipping a rate cut next month, the direction of the Federal Reserve's November interest rate meeting is becoming increasingly uncertain.
How does Wall Street view the usa CPI? The pace of interest rate cuts may slow down, but the downward trend of inflation remains unchanged.
In September, overall CPI and core CPI in the USA exceeded expectations across the board. Most Wall Street analysts believe that the September CPI data is mixed, although it strengthens the expectation that the Fed will slow down the pace of rate cuts. A significant 50 basis point rate cut is unlikely, but it will not change the Fed's assessment that inflation is still on a downward trend.
Fed's 'three chief officials' spoke out: advocating gradual interest rate cuts to neutrality, helping achieve a win-win situation for inflation and employment.
Williams said that the labor market has cooled down in the past year, but still remains robust, which should provide the Federal Reserve with room to gradually lower interest rates; ②"We still have a distance to go to reach our 2% target, but we are definitely moving in the right direction. The data paints a picture of an economy that has regained balance."
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Several senior officials of the Federal Reserve are not worried about the September CPI, but some voting members are wavering and do not oppose a pause in rate cuts in November.
On Thursday, several senior officials of the Federal Reserve spoke after the release of the higher-than-expected CPI report. Most of them believe that although inflation in the usa has not yet reached 2%, they are confident that inflation is moving in the right direction and are not too concerned about the September CPI inflation report exceeding expectations.
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US stock morning market | September CPI shows inflation exceeding expectations, with slight declines in the three major indices; growth tech stocks generally fell, tesla down nearly 3%.
US stocks opened lower on Thursday, with both month-on-month and year-on-year increases in the US CPI in September exceeding expectations. The number of initial jobless claims last week hit a one-year high, leading the market to believe that these data reinforce the reasons for the Federal Reserve to cut interest rates by 25 basis points at the November meeting.
Across the board exceeding expectations! In September, usa's CPI increased by 2.4% year-on-year, while core CPI rose by 0.3% month-on-month.
Traders are betting that there is a higher possibility of the Federal Reserve cutting interest rates by 25 basis points next month.
USA's September CPI has dropped for the sixth consecutive month, will the Federal Reserve slow down the pace of interest rate cuts in November?
The CPI report exceeded expectations across the board but still showed a downward trend, with traders believing even more that the Fed will cut interest rates by 25 basis points next month.
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"Heleni" and "Milton" successively land in the USA, which may lead to a decrease in the number of employed people and a decline in the GDP growth rate of the USA.