#HotJulyPPI Live Post: #HotJulyPPI — Inflation Ignites Policy Fireworks

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#HotJulyPPI #HotJulyPPI use—Trump and Powell weigh in on Fed policy and crypto shakes.

Wholesaler inflation heats up—PPI shocks markets

U.S. Producer Price Index (PPI) surged +0.9% MoM in July—the biggest jump since mid-2022—far exceeding expectations of +0.2%. Core PPI also spiked, reinforcing that inflation is increasingly entrenched.

Crypto markets stumble—Bitcoin dips, altcoins follow

The PPI data triggered a swift reaction: Bitcoin and Ethereum slid, with BTC slipping below the $118K level amid renewed rate-cut uncertainty.

Fed tightening ahead—no room for early cuts

Markets sharply scaled back expectations for September rate cuts. The odds of a -50 bp cut dropped dramatically; now there's around a 93% chance of only a -25 bp cut.Nasdaq+1

Trump fires back—calls inflation “a perfect number”

President Trump pushed back against inflation fears, bluntly telling reporters:

“Hardly any inflation at all. 401(k)s and the stock are soaring.”

His remarks aim to revive optimism about rate cuts and crypto enthusiasm.

Powell stays hawkish—no goodbye to rates yet

Fed Chair Jerome Powell asserted that interest rates will stay elevated until he’s confident inflation is decisively cooling, signaling there's no rush to ease.