CPI is coming out tonight! The forecast is 0.6%, versus 0.4% previously—if that number comes in, it means inflation is still climbing.
I’m keeping an eye on $XAU and $BTC .
The logic is simple: CPI comes in above expectations → rate-cut expectations get pushed back → the dollar strengthens → $XAU takes a hit in the short term. But don’t rush to turn bearish on gold. Inflation itself is a natural source of buying demand for $XAU , so if it really sells off, that could actually be an opportunity.
$BTC is more sensitive. If 0.6% is confirmed, risk assets will likely wobble first, and $BTC will probably fall along with them. Don’t expect it to decouple from the market at a time like this.
Personally, I’m leaning toward a sell-off right after the data comes out, then watching how the market digests it. The jump from 0.4% to 0.6% is significant—don’t underestimate it. Keep an eye on things at 8:30 tonight… volatility is bound to be high.
I’m keeping an eye on $XAU and $BTC .
The logic is simple: CPI comes in above expectations → rate-cut expectations get pushed back → the dollar strengthens → $XAU takes a hit in the short term. But don’t rush to turn bearish on gold. Inflation itself is a natural source of buying demand for $XAU , so if it really sells off, that could actually be an opportunity.
$BTC is more sensitive. If 0.6% is confirmed, risk assets will likely wobble first, and $BTC will probably fall along with them. Don’t expect it to decouple from the market at a time like this.
Personally, I’m leaning toward a sell-off right after the data comes out, then watching how the market digests it. The jump from 0.4% to 0.6% is significant—don’t underestimate it. Keep an eye on things at 8:30 tonight… volatility is bound to be high.