News Brief | Citi Sees a “Dovish Surprise” from the Fed Brewing: Core Inflation Near 2% Is Key
Citi believes that if the short-term annualized pace of core PCE inflation continues to hover near 2%, the tightening path could change after a September rate hike. The key question is whether the Fed’s expected subsequent rate hikes will still happen—not whether it will immediately pivot to rate cuts.
Watch the timing of policy announcements or data releases, and how the results compare with market expectations.
This is not investment advice.
Citi believes that if the short-term annualized pace of core PCE inflation continues to hover near 2%, the tightening path could change after a September rate hike. The key question is whether the Fed’s expected subsequent rate hikes will still happen—not whether it will immediately pivot to rate cuts.
Watch the timing of policy announcements or data releases, and how the results compare with market expectations.
This is not investment advice.