U.S. Treasury yields plummeted, and the dollar weakened due to inflation data

ChainCatcher reports that, according to Jintiao, as December’s core inflation unexpectedly slightly declined, investors rushed to buy US government bonds, leading to a significant drop in US Treasury yields, while the US dollar was also sold off. The December core inflation rate in the US was 2.6%, not accelerating to the predicted 2.7%. Although these inflation indicators are unlikely to change expectations that the Federal Reserve will keep interest rates unchanged later this month, they may ease concerns that accelerating inflation will delay a new round of rate cuts.

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