"February's Inflation Data and the Fed's Dilemma"

CIBC analyzes the February US CPI report, noting that while the data exceeded expectations, it does not warrant immediate concern about inflation. Core CPI rose by 0.4%, indicating persistent inflation pressures, particularly in core services and goods. This data diminishes the likelihood of immediate rate cuts by the Fed, but CIBC anticipates a potential shift towards easing policy in the latter half of the year, contingent on forthcoming economic data.