#CPIWatch #CPIWatch

Investors are keenly awaiting the release of the March CPI (Consumer Price Index) data from the US Bureau of Labor Statistics today at 8:30 AM ET (6:00 PM IST).

Market Expectations: The median forecast anticipates a year-over-year increase of 2.6% for the overall CPI (not seasonally adjusted), marking a potential second consecutive monthly decrease. The core CPI, which excludes volatile food and energy prices, is projected to rise by 3.0% year-over-year.

Potential Market Impact: CPI data is a critical indicator influencing the Federal Reserve's monetary policy decisions. Lower-than-expected inflation could strengthen the case for future interest rate cuts, potentially weakening the US dollar and boosting risk assets like cryptocurrencies and stocks. Conversely, higher-than-anticipated inflation might prompt the Fed to maintain a restrictive stance, potentially strengthening the dollar and causing a downturn in riskier markets.

Crypto Market Sentiment: Cryptocurrency markets are expected to react to the CPI data. Lower inflation figures could be bullish for Bitcoin and altcoins, while higher inflation could exert bearish pressure. Investors are bracing for potential volatility across asset classes following the release.