Reported about 7 hours ago
Bond traders are bracing for a critical US inflation report that could undermine their expectations of multiple Federal Reserve interest rate cuts starting this month and projected through 2026. While the market currently anticipates a quarter-point reduction at the Fed's upcoming meetings, concerns about inflation may prompt a reassessment of this outlook, particularly as economists forecast a persistent core consumer-price growth. This situation puts bonds at risk, especially if the inflation data comes in stronger than expected.
Source: YAHOO