A 'disappointing' CPI print (cooler than expected) has promoted a surge higher in the market's expectation for rate-cut...

Treasuries were aggressively bid with 10Y yields sdown 5bps...

Goldman said that this would be a materially dovish print (&lt;0.25% MoM for Core CPI) would prompt the bond market to add back at least 2x 25bp rate cuts (it already has) and for Equities to react positively (up 2-2.5%) to the bull steepening that likely ensues.

What excuse will Powell come up with next to NOT cut?

...two 25bps cuts in 2025 now priced back in
{ai:summary}The cooler-than-expected Consumer Price Index (CPI) report has led to increased market expectations for interest rate cuts. This has resulted in a rise in stock prices and a drop in Treasury yields, with the 10-year yield falling by 5 basis points. Additionally, the dollar weakened, contributing to a surge in gold prices. Analysts at Goldman Sachs noted that this CPI print signals a notably dovish outlook for monetary policy. #economy

Everything Soars Higher As Rate-Cut Odds Jump After CPI 'Miss'

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