Overview

• April's Consumer Price Index rose less than expected, boosting market optimism for rate cuts.
• Retail sales remained flat, indicating potential consumer pullback.
• Fed's John Williams emphasized the need for sustained progress towards the 2% inflation target before considering rate cuts.
• Other officials, including Richmond Fed's Thomas Barkin, noted continued price increase plans in the service sector.
• Analysts remain divided on the likelihood of rate cuts before the September meeting.