CITIC Securities: Maintain the prediction of the Federal Reserve cutting interest rates three times within the year, each time by 25bps

The U.S. August CPI basically met expectations, overall continuing the "moderate" tone of the previous report, but the core CPI reading was flawed due to the impact of rent inflation. We expect that U.S. inflation will remain roughly stable throughout the year and still believe that the cooling trend in rent inflation is not reversing, maintaining our forecast for three Fed rate cuts this year, each by 25bps. The election debate has eased market concerns about a risk of "re-inflation" in America next year, while recent market data on growth has been more sensitive amid a backdrop of easing inflation; opportunities can be found in short-term U.S. bonds and defensive U.S stocks.