Inflation cooled in May, according to the latest Consumer Price Index (CPI) print that saw prices remain unchanged month-over-month while rising only 3.3% annually. Both figures were below estimates.

Wells Fargo Chief Corporate Economist Tendayi Kapfidze and Academy Securities Head of Macro Strategy Peter Tchir join Yahoo Finance's Morning Brief to talk about what this cool inflation print means for the Federal Reserve's interest rate policy. Fed officials are set to announce their June policy decision today at 2:00 P.M. ET, followed by a press conference with Chair Jerome Powell.

Kapfidze believes the Fed will reiterate its 2% inflation target coming off this new inflation data, but warning that "the prices don't go back down. And I think that is what keeps the consumer confidence relatively subdued."

Tchir explains why political pressures may play a role in the Fed pushing through interest rate cuts this summer: "You really would not want to make that first cut in September if you can get away with it, right? We're going to be in the middle of the election. You know both parties are going to react to any sort of cut. Why not try and get that done in July 31?"

For more expert insight and the latest market action, click here to watch this full episode of Morning Brief.

This post was written by Luke Carberry Mogan.