Expectations for a December Fed rate cut are rising despite officials' divisions. Powell says the move isn't assured, but markets still expect easing before 2026.
Core inflation stayed at 2.9%, supporting rate cuts as spending and income rose. Tariff effects were limited, and Trump hasn't applied the 10% Canada duty.
In August, the Consumer Price Index (CPI) rose faster than expected, and unemployment claims surged, adding new policy pressure on the Federal Reserve.
Asset managers joined hedge funds in increasing yen-bearish positions amid speculation the BOJ isn’t likely to rush to adjust its ultra-easy monetary policy.