Some unexpected (but welcome) news on the macro front — the U.S. Producer Price Index (PPI) just came in at 2.3% for the year, falling short of economists’ expectations. That’s a clear sign that inflation at the wholesale level is cooling down faster than predicted.
Why does this matter for us in crypto? Lower PPI often points to easing price pressures across the board, which could influence the Fed’s stance on interest rates. A friendlier rate environment is typically bullish for risk assets — including crypto.
Markets reacted quickly, with equities bouncing and crypto seeing a slight lift. BTC and ETH both saw green candles right after the numbers dropped.
It’s still early to say what the Fed will do next, but this kind of data gives them more breathing room — and gives us in the market more hope that we’re moving toward a more stable, risk-on environment.
Staying bullish, but cautious. What’s your take on this dip in PPI?
#MacroMoves #PPI #Inflation #CryptoMarkets #BinanceSquare #Bitcoin
#FedWatch #DeFi
