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The economic calendar is relatively light this week, though there is a pivotal inflation release from the US on Wednesday which could set inflation and rate expectations on a new path into the June FOMC meeting. If this occurs we could see dollar weakness and a reversal in equities. However, Fed Chair Powell seemed confident the next two meetings would likely see a 50bps rate hike, so CPI coming in as expected would accelerate the trends that we’re currently seeing.
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