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

According to Mars Finance, Anthony Willis, a senior economist at Columbia Threadneedle Investments, pointed out that although the US inflation situation is relatively moderate, the current level is still significantly higher than the Federal Reserve's 2% target, and short-term risks tend to be on the upside. He stated: "Current data will keep the Federal Reserve in a 'wait-and-see' mode during the CPI data releases in July and August, until the next monetary policy meeting on September 17th." By then, the Federal Reserve should be able to more clearly assess the transmission effect of tariffs on inflation and obtain more evidence of labor market weakness. Willis believes that inflation is likely to move towards 3%, but given its dual mandate, the Federal Reserve may still consider it necessary to cut rates later this year.