Bank of America responding after the PPI data on Friday out of the US.
ICYMI:
BoA argues that despite the unexpected jump in the PPI the Fed’s FOMC isn’t likely to raise rates at its next policy meeting on September 19-20. BoA analysts moved their forecast for what they expect to be the final rate hike to the October 31 – November 1 meeting:
- “waiting an additional six weeks would give the Fed more time to assess the trajectory of the economy”
- says there’s been a slowdown in the rate of price growth, even though prices overall might still be rising, pointing out that categories that have experienced three-month annualized inflation at or above 5% is now at 23.2%, the lowest reading since November 2020
This article was written by Eamonn Sheridan at www.forexlive.com. Source