# Markets in Asia and Europe followed Wall Street higher, as easing US consumer inflation buoyed hopes that a big interest rate cut was around the corner. Economic growth in Japan also outpaced expectations. US consumer inflation data showed a 2.9 percent rise last month from a year ago. This is the smallest increase since March 2021, setting the stage for the Federal Reserve to start cutting interest rates. Traders were optimistic that a cut in September could exceed the anticipated 25 basis points, with some observers eyeing as much as 50.
Asia and Europe markets follow US higher on expectations of interest rate cut