_{ECONOMIC NEWS}

US Inflation Expected to Stay High, Stoking Concerns Over Rate Hikes

The upcoming US consumer price index (CPI) report is expected to show a fifth consecutive month of firm inflation increases, intensifying fears of prolonged Federal Reserve rate hikes. Core CPI, excluding food and energy, is projected to rise 0.3% in December, with overall CPI increasing by 0.4%. Analysts are closely watching key components like rents, travel-related categories, and household furnishings for inflation trends.

Rents, a significant part of CPI, showed signs of deceleration earlier in 2024 but may see modest rebounds in December. Travel categories, boosted by record holiday travel, have seen robust price increases, particularly in hotel rates. Meanwhile, household furnishings, part of core goods, could hint at broader inflationary pressures.

The report comes as 10-year Treasury yields climb, with concerns that disinflation progress has stalled. Analysts caution that persistent inflation could derail expectations for further rate cuts, especially amid potential impacts from the incoming Trump administration’s policies. Read More.

_{WORLD NEWS}

FBI Chief Warns: China Threatens U.S. Infrastructure with 'Real-World Harm'

In his final interview before stepping down, FBI Director Christopher Wray identified China as the most significant long-term threat to U.S. national security, labeling it "the defining threat of our generation." He revealed that Chinese hackers have infiltrated critical U.S. civilian infrastructure, including water treatment facilities, transportation systems, and telecommunications networks, positioning themselves to cause significant disruptions at will.

Wray also warned that China has likely accessed communications of some U.S. government personnel and emphasized that Beijing's activities in pre-positioning within American critical infrastructure have not received adequate attention. Read More.