Fundstrat's Tom Lee Expects Fed Rate Cut in June as Inflation Cools

The Fed is still expected to issue its first rate cut in June as inflation continues to slow down, according to Fundstrat's Tom Lee
Lee points to declining PCE inflation, consumer inflation expectations, and early March inflation figures from France as evidence that inflation is cooling
Lower inflation supports the case for the Fed to cut rates sooner than markets expect
Markets are currently pricing in just a 55% chance of 75 basis points or more of cuts this year and 57% odds of a June cut
Lee believes recent upticks in manufacturing prices are a "head fake" and expects more confirmation of falling inflation in the April CPI report