The U.S. Bureau of Labor Statistics will release its July Consumer Price Index (CPI) report on Wednesday. The market generally expects the July overall CPI to increase by only 0.1% month-over-month, while the core CPI (excluding volatile food and energy prices) is projected to rise by 0.2% month-over-month. On an annualized basis, the overall CPI is expected to be 3.4% and the core CPI 2.5%, both down 0.1 percentage point from June. Analysts believe that if the data meets expectations, it could provide "breathing room" for the Federal Reserve on interest rate hikes, allowing it to keep rates unchanged for the remainder of the year. However, Bank of America still anticipates three more rate hikes in the coming months, while Cleveland Federal Reserve President Beth Hammack has stated that multiple rate hikes may be necessary.