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At Aquinore. UK. Good morning from the Financial Times. Today is Thursday, April 11th, and this is your

F.T. News briefing. U.S. inflation data came in yesterday. The results were not good and KPMG has been caught in another exam scandal.

Plus, Lloyds Bank is axing some of its risk management staff.

Yes, some of the concerns that have been raised is that, you know, it's a bit of a reckless move

because risk management is what keeps banks safe and

compliant with regulation. I'm Sonia Hudson and here's the news you need to

start your day. U.S. inflation rose again last month for the second time in a row. It's now sitting at 3.5%.

That's creating problems for the Federal Reserve, which has been signaling a few interest rate cuts later this year.

Here to talk to me about it is the FT's U.S. markets editor, Jen Hughes.

Hey Jen. Hey Jen.

Hey there.

So before we really get into the numbers here,

just how important, how pivotal was this March inflation report. Well, we've been talking about sticky inflation for a while, this idea that inflation

it's not at the high levels that were just killing us as consumers a year or two back. But it's kind of stuck around these levels. So each

data point we get matters because it either adds to that narrative or leads us to question it.

And so what is this new data doing to expectations for rate cuts this year?

Well, we've switched a lot in terms of rate cut forecasts this year and it's worth going back to the start on that.

So in January, we were thinking we would get six to seven cuts before this data.

We were thinking it'd be two to to three so we've already come back

a lot now we've seen these figures markets are pricing in one cuts maybe two if

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