{"id":85659,"date":"2023-10-12T16:33:51","date_gmt":"2023-10-12T13:33:51","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=85659"},"modified":"2025-09-13T00:39:31","modified_gmt":"2025-09-12T21:39:31","slug":"u-s-inflation-slowdown-stalls-bitcoin-volatility-returns","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/u-s-inflation-slowdown-stalls-bitcoin-volatility-returns\/","title":{"rendered":"U.S. inflation slowdown stalls; Bitcoin volatility returns"},"content":{"rendered":"

US consumer price inflation in September rose 3.7% year over year, as in the previous month, beating the forecast of 3.6%. Bitcoin showed mixed moves within a 0.4% range around $26,800.<\/p>\n

On a monthly basis, prices rose 0.4% \u2014 worse than economists’ expectations of 0.3% and down from 0.6% in the prior month. <\/p>\n

Core inflation, which excludes food and energy, rose 4.1% year over year and 0.3% month over month. The previous readings were 4.3% and 0.3%, respectively. <\/p>\n

Analysts had forecast readings of 4.1% y\/y and 0.3% m\/m.<\/p>\n

An hour later, Bitcoin sellers gained the upper hand. The digital asset’s daily losses widened to 1.4%.<\/p>\n

\n
\"1-781\"
5-minute BTC\/USDT chart on Binance. Data: TradingView<\/a>.<\/figcaption><\/figure>\n<\/div>\n

A similar dynamic formed in Ethereum. The second-largest cryptocurrency by market cap fluctuated around $1,550, before retesting local lows.<\/p>\n

\n
\"2-635\"
5-minute ETH\/USDT chart on Binance. Data: TradingView<\/a>.<\/figcaption><\/figure>\n<\/div>\n

According to CoinGecko<\/a>, all top-10 cryptocurrencies by market cap (excluding stablecoins) saw their 24-hour declines broaden over the last hour \u2014 from 0.6% for BNB to 4% for Solana.<\/p>\n

\n
\"1-783\"
Data: CoinGecko.<\/figcaption><\/figure>\n<\/div>\n

CPI<\/span> excluding rents and energy rose by thelargest month-over-month gain since the start of the year, 0.6% m\/m<\/span>. The Fed previously indicated that policymakers would be guided by price dynamics in the services sector.<\/p>\n

According to the minutes<\/a> of the September meeting, a majority of officials saw the need for another rate hike this year. The agency suggested that this stance could persist, despite the recent spike in bond yields in the absence of further inflation declines, according to Bloomberg<\/a>.<\/p>\n

\n

“While inflation is gradually easing, a strong labour market means that the threat of renewed price growth cannot be ignored. It keeps the Fed<\/span> on edge. The question of whether there will be another rate hike remains to be answered,”<\/em> said Sima Shah, Chief Global Strategist at Principal Asset Management.<\/p>\n<\/blockquote>\n

She was echoed by Bloomberg economists Anna Wong and Stuart Paul.<\/p>\n

\n

“The inflation report will not convince a majority of Fed officials that rates are sufficiently restrictive. Our base case is that the Fed will hold them steady through year-end. But we see risks of another rate hike that the market is likely underpricing,”<\/em> they explained.<\/p>\n<\/blockquote>\n

The data slightly raised the odds of the Fed tightening policy at the December 12\u201313 meeting. According to the CME Fed Watch<\/a>, the probability of a 25 basis-point increase rose from 26.3% to 33.9%. By the January 2024 meeting, the odds were higher still\u201440.7% vs 27.1% a day earlier.<\/p>\n

\n
\"1-784\"
Data: CME Fed Watch<\/a>.<\/figcaption><\/figure>\n<\/div>\n

Analysts at Cryptoquant highlighted a potential rise in Bitcoin after breaking above $27,900<\/a>.<\/p>\n

Earlier, former BlackRock director Steven Shonfield suggested that the SEC<\/span> would approve a Bitcoin-ETF<\/span> within three to six months<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

US consumer price inflation in September rose 3.7% year over year, as in the previous month, beating forecasts of 3.6%. Bitcoin traded with mixed moves around $26,800.<\/p>\n","protected":false},"author":1,"featured_media":85660,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[480,1249,1224,1150],"class_list":["post-85659","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bitcoin-price","tag-federal-reserve-system","tag-macroeconomics","tag-news-plus"],"aioseo_notices":[],"amp_enabled":true,"views":"22","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/85659","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=85659"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/85659\/revisions"}],"predecessor-version":[{"id":85661,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/85659\/revisions\/85661"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/85660"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=85659"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=85659"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=85659"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}