Wall Street rushes to raise August core PCE forecasts after CPI data

BlockBeats news, September 12th - Wall Street economists have raised their expectations for August core PCE following the release of the latest CPI data, with forecasts now concentrated in the high range of 0.20%, and several banks even predicting 0.30% or higher. Among them:

Barclays: Raised PCE growth from 0.22% before CPI to 0.25%;

Goldman Sachs: Raised PCE growth from 0.24% before CPI to 0.26%;

Nomura: Raised PCE growth from 0.245% before CPI to 0.278%;

Bank of America: Raised PCE growth from 0.26% before CPI to 0.3%.

Correction/Report

RelatedRecommended

Tonight's US CPI, or a blow to September rate hike expectations?

The current interest rate hike probability is around 50%, with benign inflation data potentially prompting a wait-and-see approach. However, the hawkish stance still introduces uncertainty into the future policy outlook.

Will the Fed raise rates next week? Tonight's CPI may seal the deal.

Core CPI at 0.2% month-over-month means the Fed stays put, while 0.3% triggers a rate hike.

SignalPlus Macro Analysis: BTC ETF Continual Outflows, Market Pinning Hopes on May FOMC Meeting and CPI Data

Tonight's Triple Whammy: US CPI, Powell Testimony, and Earnings Season

Goldman Sachs warns that if the Federal Reserve resumes rate hikes, the combination of reduced growth expectations, higher cost of capital, and vulnerable high valuations will create a triple threat to the US stock market.

Rate Hike Option Back on the Table, CPI Data to Be Released Soon, What Variables Is the Market Watching?

A bout of inflation data is reshaping risk assets' rate assumptions.

On-Chain Activity