Inflation Persists, But So Do Stock Opportunities: Rally On
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The January CPI report indicates persistent inflation, which may lead to continued FOMC tightness. This reduces the likelihood of rate cuts in 2025 and increases the possibility of rate hikes.
February 12, 2025 | 3:45 pm
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The SPDR S&P 500 ETF (SPY) may experience volatility due to the persistent inflation indicated by the January CPI report, which suggests continued FOMC tightness and potential rate hikes.
The SPDR S&P 500 ETF (SPY) is likely to be impacted by the news of persistent inflation as indicated by the January CPI report. This suggests that the Federal Open Market Committee (FOMC) may maintain tight monetary policy, reducing the likelihood of rate cuts in 2025 and increasing the possibility of rate hikes. Such monetary policy actions can lead to market volatility, affecting the SPY ETF.
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IMPORTANCE 70
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