Federal Reserve officials have indicated they are gravitating toward another 0.75-percentage-point rate rise at their July 26-27 Federal Open Market Committee meeting, even as they have faced questions about their willingness to do more than that to bring down high inflation. Central bankers have signaled they will do whatever it takes to lower inflation that is now running above 9%.

Consumer prices are soaring at their fastest rate in a generation, climbing 8.6% in June from a year earlier in the face of rising energy and food costs. Nearly every corner of the globe has been hit by inflation in recent months. Our Tom Lee, Head of Research, believes inflation is already rolling over, but the big CPI figure remains hot. Meanwhile, median U.S. home prices notched a new record high of $416,000.

To review:

Inflation rose 9.1% in June, the highest reading since 1981The national average for gasoline topped $5 a gallon for the first time33% of listed homes have cut their pricesHome builder confidence fell to the lowest levels since May 202030-year mortgage rates hit 5.8%, the highest since 2008Industrial production fell 0.2% in JuneConstruction on housing starts fell to a 9-month lowSmall business optimism fell to the lowest levels in the last decadeISM manufacturing PMI fell ...

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