TD Securities: Rising oil prices will complicate Fed rate cuts.

According to Mars Finance, citing Jinshi, TD Securities strategists stated in a report that the Federal Reserve's interest rate cuts will become "complex." They pointed out that a 25% increase in WTI crude oil prices would roughly correspond to a 0.5 percentage point increase in overall CPI. The strategists said that if inflation remains sticky and economic growth is resilient, it may delay the Fed's easing pace, but the threshold for raising interest rates remains high. LSEG data shows that the money market currently expects the Fed to cut interest rates by 41 basis points this year.