The Guangfa Securities Research Report pointed out that although the December CPI data fluctuated due to the previous government shutdown, the core readings were still moderate. Prior to the release of this data, the market had anticipated that technical disruptions caused by the early government shutdown and the year-end effects would cause fluctuations in some segments. Therefore, the market generally viewed the rebound in categories such as clothing, entertainment products, and hotel accommodations as a base effect repair rather than a trend change. In the context of “inflation has not been derailed+employment has not stalled,” we understand that the need to cut interest rates in the short term continues to be low.

The Guangfa Securities Research Report pointed out that although the December CPI data fluctuated due to the previous government shutdown, the core readings were still moderate. Prior to the release of this data, the market had anticipated that technical disruptions caused by the early government shutdown and the year-end effects would cause fluctuations in some segments. Therefore, the market generally viewed the rebound in categories such as clothing, entertainment products, and hotel accommodations as a base effect repair rather than a trend change. In the context of “inflation has not been derailed+employment has not stalled,” we understand that the need to cut interest rates in the short term continues to be low.