Daily Wrap – Jump In Jobless Claims Locks In Certainty For The 2025 Rate Path; With Caveats

Neither the CPI nor Initial Jobless Claims delivered encouraging figures, yet the market prioritized the Employment aspect of the Fed’s mandate (favoring rate cuts) over combating Inflation. This shift followed yesterday’s deflationary PPI, suggesting that inflation poses less of a challenge to the Fed’s dual mandate (stable prices and maximum employment) compared to a weakening…