Analyst says the “forces underway for inflation to fall like a rock are in place”

Tom Lee is Fundstrat Global Advisors co-founder and head of research. Spoke with CNBC on Monday.

He is expecting inflation data from the US due on Friday (PCE) to be cooler.

• “One print can be uncertain, but I think the forces underway for inflation to fall like a rock are in place”
• there do not seem to be any new drivers of inflation
• so it can surprise to the downside
• expects inflation to fall sharply due to a recession in durable goods
• said there is “urgency” for the Federal Reserve to begin cutting interest rates

The data is due on Friday 25 July at 0830 US Eastern time / 1230 GMT

This article was written by Eamonn Sheridan at www.forexlive.com.