According to a report by Jin Ten, institutional analysts pointed out that the U.S. CPI rose more than expected in January, exacerbating people's concerns about persistent inflationary pressures and strengthening the Federal Reserve's cautious attitude in easing monetary policy. Policymakers have repeatedly emphasised the need for sustained evidence of inflation returning to its 2 per cent target before considering a rate cut, while the latest data show that disinflationary progress remains uneven, making it harder for the Fed to pivot in the short term. With inflation higher than expected, the near-term outlook for risk assets remains uncertain. Stocks face fresh downward pressure as traders adjust their expectations for a rate cut. Bond yields are likely to continue to rise as markets reflect a longer period of tighter monetary policy. Unless the forthcoming inflation report shows a significant cooling, the Federal Reserve is unlikely to cut rates anytime soon, which will keep volatility in equities and fixed income markets rising.