Quick Read – Higher-than-expected April inflation of 3.8% year-over-year, driven 40% by energy prices amid Middle East tensions, has shifted market expectations from multiple Fed rate cuts to a 27% probability of a rate hike before 2028. – Energy price increases act as a tax on…
e economy by raising shipping, airline, manufacturing, and utility costs, while supply-driven inflation limits the Fed’s ability to control prices through traditional interest rate policy. – The analyst who called NVIDIA in 2010 just named his top 10 AI stocks. Get them here FREE
For months, Wall Street has been obsessed with one question: how many times will the Federal Reserve cut interest rates this year? Two cuts? Three?
Maybe more if the economy weakens? Investors have hung on every speech from Federal Reserve Chair Jerome Powell looking for clues. But this morning’s inflation report may have flipped the entire conversation on its head.