After the release of the US CPI data, traders lowered their expectations for a Federal Reserve rate cut

ChainCatcher news, according to Jinshi, after the release of the U.S. CPI data, traders have lowered their expectations for a Federal Reserve rate cut. Rate traders have reduced their bets on a 50 basis point cut at the Fed's September meeting, now expecting a cut of about 33 basis points, down from yesterday's expectation of 37 basis points.

Analyst Chris Anstey noted that it is worth mentioning that the U.S. July CPI inflation rate has now fallen below 3%, the lowest level since inflation first ignited in the spring of 2021. The initial market volatility has been modest. The U.S. 2-year Treasury yield is currently up over 4 basis points, indicating that some are disappointed that the inflation data has not become more subdued.