QCP Capital: Slowing economic growth and rising inflation further weaken the Fed's chances of cutting interest rates

QCP Capital said that the lower-than-expected U.S. GDP growth indicated a slowdown in economic growth, while the rise in the core personal consumption expenditure price index warned that inflation problems continued to plague the Federal Reserve. The U.S. GDP report showed that the U.S. annualized growth rate in Q1 this year was 1.6%, compared with 3.4% in the previous quarter. Meanwhile, the personal consumption expenditure price (PCE) index showed that prices rose at an annual rate of 3.4% in the first three months of this year, compared with 1.8% in the fourth quarter of last year. The stagflationary combination of slowing economic growth and continued rising inflation further weakens the possibility of the Federal Reserve cutting interest rates. (CoinDesk)