U.S. Data Favorable for Risk Asset Tactically

Key Summary:
- U.S. core inflation was lower than estimate
- Dollar remains elevated, hindering inflows
- Markets will watch U.S. fiscal policies next
Recent monthly economic indicators from U.S. have been slightly better than analysts’ expectations, which have been supportive for the movement of risk assets globally in the short-term.
Context: As markets shift their focus towards the Fed’s monetary policy outlook, high-frequency economic figures such as inflation and unemployment are now important for investors to watch.