According to the data from the U.S. Department of Labor, the latest value of the U.S. core CPI annual rate in April was 3.6%, two percentage points lower than the previous value of 3.8%, setting a new low for the year. The nominal CPI annual rate data was released at the same time, with the latest value of 3.4%, lower than the previous value of 3.5%, which was in line with expectations. The decline in both the nominal CPI annual rate and the core CPI annual rate means that the U.S. inflation rate has broken away from the sideways fluctuations in the first quarter of this year and re-entered the rapid decline channel.

After the release of the CPI data, the U.S. dollar index fell sharply at the minute level, and the cumulative decline reached 0.68% by the close, reaching a minimum of 104.28 points. While the U.S. dollar index fell, London gold and COMEX gold, non-U.S. currencies, and the three major U.S. stock indexes all rose rapidly.

In the U.S. Treasury market, the yield on 3-month U.S. Treasury bonds is 5.38%, higher than the yield on 6-month U.S. Treasury bonds of 5.35%. The inversion of long-term and short-term bond yields means that the Federal Reserve will cut interest rates within 3-6 months. Calculated from May, the Fed will cut interest rates between August and November. During this period, the Fed will only have an interest rate decision plan in September. Based on this, the first month of the Fed's interest rate cut this year is likely to be September.