They DIRECTLY affect #Bitcoin and #crypto for these reasons: Have investors' perspectives on INTEREST RATE CUTS changed?
On Wednesday:
-The MONTHLY CPI fell from 0.2% to 0.1%, while it was expected to remain at 0.2%.
-The CORE CPI (excluding food and energy) MONTHLY FELL from 0.2% to 0.1%, while a RISE to 0.3% was expected.
-Given this data, BTC ROSE.
On Thursday:
-The MONTHLY PPI went from -0.2% to 0.1%; although it ROSE, it was a BETTER figure than expected (0.2% was expected).
-The CORE PPI (excluding food and energy) MONTHLY went from -0.2% to 0.1%; although it ROSE, it was a BETTER figure than expected (0.3% was expected).
-Given this data, BTC ROSE.
What do these GOOD INFLATION DATA mean for the financial markets?
These good data mean that the FED is achieving its goal of bringing inflation down to 2%.
Given this data, futures traders on the interest rate see an 80% chance of a cut in September.
They also expect another cut in October or December.
It seems that it's only a matter of time before the FED cuts the interest rate.
If so, the markets would react positively, as cuts make credit cheaper, thus increasing the circulation of dollars and lowering the dollar 💵 #TrumpTariffs
