Goldman Sachs warns of inflation risks, could disrupt Fed's path to rate cuts According to a report by Golden Finance, Goldman Sachs warns that if CPI data rises beyond expectations, it may push the Federal Reserve back to its hawkish stance, impact market expectations of interest rate cuts, and put pressure on Bitcoin and mainstream altcoins. Goldman Sachs Asset Management pointed out that as the market begins to price a more stable monetary easing cycle, the US inflation data released this week may prompt the Federal Reserve to shift its policy back towards a more aggressive stance. After better than expected non farm employment data, analyst Kay Haigh stated that there are preliminary signs of a tightening labor market, but there is still some way to go before it fully tightens. In other words, the marginal cooling of the job market is far from enough to alleviate the Federal Reserve's inflation concerns. Against the backdrop of sustained economic growth exceeding expectations, Haigh believes that "given the sustained economic performance exceeding expectations, the focus of the Federal Open Market Committee (FOMC) will shift towards the inflation situation. ” Goldman Sachs' benchmark forecast still believes that there is still room for the Federal Reserve to cut interest rates twice this year, but Haigh added a key premise: if Friday's CPI data "unexpectedly rises, it may prompt the Federal Reserve to shift towards a more hawkish stance". For interest rate sensitive assets, this watershed is crucial.