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Cooling Core Inflation Boosts Odds of Fed Rate Cut to 87% Amid Diverging Policy Views
The latest inflation data from the U.S. Department of Commerce, though delayed due to a previous government shutdown, has delivered a pivotal signal to markets. The core Personal Consumption Expenditures (PCE) price index excluding food and energy rose just 0.2% in September and 2.8% year-over-year. The annual figure was 0.1 percentage point lower than expected and down from 2.9% in August. This modest decline in the Fed's preferred inflation gauge introduces a direct causal mechanism supporting monetary easing. Lower-than-expected inflation provides greater flexibility for the Federal Reserve to cut interest rates ... (full story)
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Kamaltrade87
Dec 8, 2025 6:19am
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Federal Reserve Chair Jerome Powell is expected to push through another quarter-point interest-rate cut this week despite growing unease among fellow policymakers that inflation remains too high. The Fed delivered a second straight reduction in October driven by the summers sudden deterioration in the US labor market. But that was followed by an outburst ...
Week Ahead: Fed to Cut but RBA, SNB, and Bank of Canada Set to Hold, and Market Thinks They are Done
From marctomarket.com | Dec 6, 2025
The US dollar traded heavily last week, losing ground to all the G10 currencies, but the Swiss franc. The franc seemed to be dragged down by the use of it rather than the yen as a funding currency. Japanese officials protested the pace of the yen's weakness, while Swiss authorities seem to welcome the franc's pullback, not only against the dollar but the ...
Gold nudged higher on Monday, supported by a softer dollar as traders grew more confident the US Federal Reserve will deliver an interest-rate cut at its policy meeting this week. Spot gold was up 0.3% at $4,212.70 per ounce, as of 0319 GMT. Core PCE data came and went without incident, which leaves the Fed on track to cut rates this week, with this ...