Sign Up on MEXC
Highlights
- The crypto market is eagerly waiting for the US CPI release on Thursday.
- The latest US Job data has dampened hopes over a potential 50 bps Fed rate cut.
- The market expects the US CPI figures to show a cooling inflationary pressure.
The crypto market is waiting for the US Consumer Price Index (CPI) data, which is scheduled to be released later this week. The data, crucial to understanding the inflationary pressure in the economy, would be closely watched by investors, especially after the gloomy US Job data weighed on market sentiment. The stronger-than-anticipated nonfarm payroll data has dampened hopes over a potential 50 bps rate cut by the US Fed at their upcoming meeting.
Crypto Market Awaits US CPI Data
The US CPI data, which is scheduled to be released on Thursday, October 10, will be closely watched by the traders. Besides, these data are also evaluated by the US central bank to understand the inflation level in the nation. In other words, it is a crucial metric that helps the US Fed to decide its monetary policy plans.
According to market estimates, the CPI figures are expected to cool down to 0.1% in September, down from 0.2% in the prior month. On a YoY basis, the inflation is anticipated to come in at 2.3%, a decline from 2.5% noted in August.
On the other hand, the Core CPI, which excludes energy and food prices, is expected to show a cooling inflation of 0.2%, down from 0.3% in the previous month. However, the Core CPI, on an annual basis, is estimated to remain unchanged at 3.2%.
Meanwhile, the cooling inflation figures could boost the market sentiment, potentially triggering a rally in the crypto market. However, if the data shows a hotter-than-expected inflation level, the selling pressure in the market could worsen further.
US PPI And Fed Officials Speeches In Focus
The latest US Job data has weighed on the market sentiment, as it indicated a strong labor market. Usually, the decreasing nonfarm payroll data and soaring unemployment rate boost the market sentiment, raising bets over a larger US Fed rate cut. However, the latest data showed otherwise, with many experts like the BlackRock CIO now anticipating a 25 bps rate cut at the central bank’s upcoming meeting.
Meanwhile, amid this, the US CPI data will play a crucial role in shaping the market sentiment. In addition, another essential inflation metric, US PPI data, is also scheduled for next week. This would further shed light on the inflation level in the US, influencing the policy rate decision of the US Federal Reserve.
In addition, a flurry of Fed officials are expected to speak next week. The officials’ comments will also be closely watched by the investors, for cues on the central bank’s next move with their monetary policy plans.
Previously, Fed Chair Jerome Powell showed confidence towards a cooling inflation level in the US. Simultaneously, other Fed officials also leaned towards a larger rate cut of 50 BPS points at the central bank’s upcoming meeting this year.
- Breaking: $2.22B Gemini IPO Secures $50M Investment from Nasdaq
- Cathie Wood Dumps Robinhood for BMNR Stock As ARK Invest Adjusts Holdings
- Ripple News: BBVA Bank Taps Ripple to Custody Bitcoin, Ether for Retail Customers
- Pi Coin Grabs Headlines at TOKEN2049 as Pi Network Founder Joins Speaker Lineup
- AI Coins Gain as US SEC Crypto Task Force Met Multiple Firms Today
- Cardano Price Prediction as Sept Fed 50bps Cut Odds Surge – Is $1.65 Next?
- Chainlink Price Prediction: Analyst Sees 48% Rally as Grayscale ETF Filing Ignites Hype
- Is Ethereum Price About to Crash Amid Relentless BlackRock Selling?
- Pi Coin Price Prediction: Bulls Eye $1.20 as Protocol Upgrade Gains Momentum
- Dogecoin Price Forecast: Analyst Targets $2 as DOGE Leads Altcoin Market Amid ETF Optimism
