Agency: Short-term risks of US CPI data are still on the upside

Odaily Planet Daily News Columbia Threadneedle Investments senior economist Anthony Willis pointed out that although the US inflation situation is relatively mild, the current level is still significantly higher than the Fed's 2% target, and short-term risks are still inclined to the upside. He said: "The current data will keep the Fed on the sidelines during the release of the July and August CPI data until the next interest rate meeting on September 17." By then, the Fed should be able to more clearly assess the transmission effect of tariffs on inflation and obtain more supporting data on the weak labor market. Willis believes that inflation is likely to move towards 3%, but given the dual mission, the Fed may still find it necessary to cut interest rates later this year. (Jinshi)