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The market is overestimating the potential for interest rate cuts by the Fed – Commerzbank – Crypto News
US inflation is sticky. Economists at Commerzbank say that the Fed can wait for longer before cutting rates.
US inflation pressure rises again
The decline in inflation in the US is stalling. In February, consumer prices rose by a strong 0.4% from the previous month, both overall and excluding energy and food. Prices for services in particular increased, reflecting rising wage costs. The high inflation rate in January was therefore not an outlier.
The data supports our view that the market is overestimating the potential for interest rate cuts by the Federal Reserve.
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