According to ChainCatcher, former Federal Reserve Vice Chair and current PIMCO advisor Richard Clarida stated that although U.S. inflation performed better than expected at the beginning of the year, significant pressure remains due to early inventory stocking and the cumulative impact of tariffs.
He pointed out that in June, the average effective U.S. tariff rate rose to 15.6%, the highest since 1937, which could push inflation back above 3%. Clarida questioned whether the Federal Reserve would maintain its forecast of two rate cuts this year, and emphasized that if the market doubts the independence of the new chair, both the stock and bond markets will react sharply. He believes that the yield on 10-year U.S. Treasury bonds already signals the return of the "bond vigilantes."