Jeffrey Gunlak: It is impossible for the Federal Reserve to cut interest rates in the near future, and CPI may exceed 4%

According to Jeffrey Gunlak, CEO of Double Line Capital, it is unlikely that the Federal Reserve will cut interest rates at its next policy meeting. He said on Fox News that the yield of two-year US treasury bond bonds was nearly 50 basis points higher than the federal funds rate, and there was no hope to cut interest rates. Gunlak predicts that due to the war with Iran pushing up oil prices, US inflation will continue to rise, and the dual line capital model shows that the next reading of overall CPI will exceed 4%. AI interpretation: Gunlak's viewpoint clearly points out that the possibility of the Federal Reserve cutting interest rates in the near future is extremely low, reflecting the market's expectation that interest rate policy will remain tight. At the same time, his forecast for CPI shows that inflationary pressure still exists, especially under the influence of external factors such as rising oil prices. This upward trend in inflation will further affect the decisions of the Federal Reserve, strengthening market expectations for sustained high interest rates. Overall, the rise in inflation will make the timetable for interest rate cuts even more distant, and the market needs to remain vigilant about this.