Inflation cools as Fed stays quiet

Consumer sentiment has risen by 15.9% in early June, with the University of Michigan’s survey indicating a drop in inflation expectations to 5.1% for the first time since 1981. The positive sentiment is influenced by ongoing US-China trade negotiations.

Despite improved sentiment, concerns regarding economic risks persist. The Federal Reserve is expected to delay interest rate cuts until at least September 2023, as consumers remain cautious about future inflation.

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