#USCorePCEMay 🔥 Inflation Heats Up to 2.7% – What It Means for Crypto
The Fed’s favored inflation gauge, Core PCE, just hit 2.7% YoY in May—above expectations and the central bank’s 2% target. While headline PCE matched forecasts at 2.3%, the sticky core reading signals persistent price pressures, complicating the Fed’s rate-cut timeline.
Market Impact:
✅ BTC Resilience: Holding $106K despite the print, as traders bet the Fed will prioritize weak consumer spending (-0.1% MoM) over inflation.
✅ Altcoin Watch: ETH and SOL outperformed, rising 3% post-data, as crypto becomes a hedge against tariff-driven inflation risks.
✅ Fed Dilemma: Powell faces pressure from Trump to cut rates, but May’s core surge may delay easing until September .
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