Tuesday, October 8, 2024

US CPI Data Released: US Inflation Rate Falls to 2.5%

Share

spot_img
spot_img

The post US CPI Data Released: US Inflation Rate Falls to 2.5% appeared first on Coinpedia Fintech News

The U.S. Bureau of Labor Statistics has reported a drop in August’s Consumer Price Index (CPI) inflation rate to 2.5%, falling below the expected 2.6%. This marks the end of a 40-month streak where inflation stayed at or above 2.9%, and it’s the fifth month in a row of declining CPI inflation. 

The drop in inflation signals a change in the financial sector, with inflation finally easing. As a result, Bitcoin’s price has surged above $57,000 after previously struggling with a price drop.

Cooling US CPI Inflation Data

The latest August month U.S. CPI inflation rate has dropped to 2.5%, down from 2.9% in July and 3.0% in June, showing a steady cooling of inflation over the past year. The actual figure of 2.5% came in slightly below expectations, signaling a continued decline in inflation.

U.S. inflation dropped to 2.5%, below expectations.#CoinPedia #CPIdata #USCPI #Crypto #Bitcoin #CPI pic.twitter.com/soakA1Fm8z

— Coinpedia (@CoinpediaNews) September 11, 2024

Meanwhile, the reduction marks five consecutive months of declining inflation, suggesting a steady cooling trend. Economists believe this may increase the likelihood of a rate cut in September, offering relief to markets and investors.

Core CPI Inflation 

The core CPI inflation, which excludes volatile items such as food and energy, also dropped to 3.2%, slightly below the expected 3.3%. The ongoing drop in both overall and core CPI shows that past efforts to control inflation are starting to work. 

If this trend continues, it could lead to a more stable economy soon, giving hope for lasting improvement.

Bitcoin Price Sees a Boost

Following the release of the CPI data, Bitcoin’s price surged by 1.02%, reaching $56, 940 with a market cap of $1.12 trillion. The cryptocurrency appears to be gaining momentum, with the potential to break the $60,000 resistance level. This price movement suggests that investors are holding onto their positions, anticipating further gains, rather than opting to book profits.

If inflation continues to ease, Bitcoin and other cryptocurrencies could see more significant upward trends soon.

Read Also: What is Happening to the Crypto Market? Crypto ETFs Outflow Streak Explained

American Singer Big Bet, Buys 1.66M SUNDOG Tokens

The post American Singer Big Bet, Buys 1.66M SUNDOG Tokens appeared first on Coinpedia Fintech News The popular American singer Ty Dolla Sign made a...

Read More

Crypto News