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Strong inflation figures help the US-based investment bank to upwardly revise their Consumer Price Index (CPI) forecasts while also welcoming the recent unlock measures in the US.

In its latest analysis, JP Morgan said that they see signs of a broad-based reflationary trend building and that today’s report reveals a rebound in core services prices as the US economy reopens.  

The same helped the banker to revise up 4Q2021 core CPI forecast by 0.3% to 2.1% y/y. However, the 2020-end forecast remains unchanged at 2.2% YoY, per the reports.

Given the latest upbeat inflation figures, traders will keep their eyes on Fed Chair Jerome Powell’s speech, at 16:00 GMT on Wednesday, for fresh impulse.