U.S. July CPI due at 20:30 as markets eye softer inflation

The U.S. July CPI (Consumer Price Index, a key inflation gauge) is scheduled for release at 20:30, with markets broadly expecting lower gasoline prices to help cool inflation and further reduce expectations for interest rate hikes. That softer view is tempered by unresolved conflict in the Middle East and persistent core service inflation (price growth in service categories excluding volatile items), which could keep underlying price pressure elevated.

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