Federal Reserve spokesperson: Today's CPI report will not change the Fed's policy direction

ChainCatcher news, according to Jinshi reports, "the Fed's mouthpiece" Nick Timiraos recently wrote: "The inflation data for June may keep Federal Reserve officials cautious. Those policymakers who predicted that tariffs would lead to more significant price pressures later this year may not have much reason to change this view after seeing the June data—especially if retailers delay price adjustments as much as possible. The June data will only make the upcoming July and August data seem even more important.

Similarly, those policymakers who believe that tariffs will not trigger significant inflation (because businesses lack the pricing power to support rising inflation) also have little reason to change their views after seeing Tuesday's report. "In recent weeks, Fed Chair Powell has indicated that the threshold for rate cuts may be slightly lower compared to the spring.

This shift reflects an assessment that inflation risks may take longer to manifest, and thus their impact may be relatively weak. If the Fed maintains the expectation that 'inflation acceleration will not be too severe,' then based on factors such as a softening labor market or improving inflation data, Powell may open the door to rate cuts as early as September."