U.S. November CPI data showed a significant cooldown, with annual CPI at 2.7% and core CPI at 2.6%, marking the lowest levels in over two years. This has fueled expectations for interest rate cuts, with futures markets now pricing in a 3-basis-point easing by the end of 2026. The weaker dollar and a rebound in gold and non-dollar assets have contributed to this outlook.
Bitunix analysts highlight that the market is anticipating a long-term decline in interest rates, driven by synchronized declines in inflation and employment. The fear and greed index indicates cautious optimism, as the yield curve steepens and labor market stability persists.
Market Prices in 2026 Rate Cuts as U.S. CPI Cools
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