Today's Interest Rates: Not the New Normal, Just Normal

Markets are trimming expectations for a near-term Fed rate hike, and the article attributes this to a weak July jobs report, a soft retail sales report, and further cooling in monthly inflation data. The combination is portrayed as giving the Fed room to “stay patient,” implying fewer upward surprises to rates in coming months. Overall, this is a modestly risk-on shift for rate-sensitive assets as hawkish pressure fades.