Sheng Bao Group: This Week's Data Could Prompt Repricing of US Rates

BlockBeats News, December 16th: Charu Chanana, Chief Investment Strategist at Shingwa Group, stated that the market views this week as a small "reset" of the U.S. macro narrative, with employment and inflation data set to be released in a very narrow window, potentially prompting a rapid repricing of rates.

The Federal Reserve cut rates last week and is expected to cut once again in 2026, but the market expects at least two more cuts next year. "If the data is mixed or slightly weaker than expected, then the soft landing narrative will remain unchanged, but this may not be enough to trigger a large-scale risk-on rally. The real risk is a hawkish surprise. If inflation or employment data comes in hot, yields will rise, and risk assets, especially long-duration growth stocks, will be the first to feel it." (FXStreet)