According to @KobeissiLetter, prediction markets now forecast a base case of US inflation rising to 4.0% by 2025, as per data from @Kalshi. This signifies a substantial increase from the 2.3% inflation expectation recorded on December 1st, 2024. Additionally, there is a growing 22% probability that inflation could exceed 4.0%, indicating potential volatility in economic conditions. Traders should closely monitor these shifts, as they could impact investment strategies and interest rate expectations.