WS #14796
US consumer sentiment fell to a four-month low in September, driven by deepening worries about rising prices and the economic outlook. Apollo Global Management's Torsten Slok warned that record diesel prices pose a greater inflation threat than the Fed may appreciate, as fuel costs flow into the core CPI. This dynamic complicates the Federal Reserve's path to rate cuts, with markets pricing in a 'higher for longer' rate environment despite the modest equity gains seen today.
Macro Inflation & Fed Policy
US consumer sentiment fell to a four-month low in September, driven by deepening worries about rising prices and the economic outlook. Apollo Global Management's Torsten Slok warned that record diesel prices pose a greater inflation threat than the Fed may appreciate, as fuel costs flow into the core CPI. This dynamic complicates the Federal Reserve's path to rate cuts, with markets pricing in a 'higher for longer' rate environment despite the modest equity gains seen today.