⚡️Just confirmed: US September PPI rose 1.3% month over month, versus expectations of just 0.6%
In plain English: factory-gate prices rose 1.3% in a single month—more than double what the market expected, and the biggest monthly increase since March 2022. Year over year, PPI was up 6.3% (versus 5.5% expected)—also way above forecast.
Core PPI was no exception: up 0.7% month over month (versus 0.3% expected) and 5.0% year over year (versus 4.4% expected). The numbers beat expectations across the board.
The BLS report singled out gasoline: prices jumped 20.3% in a month, accounting for half of the increase in goods prices; energy overall was up 10.8%. Once again, oil prices are stirring things up.
Within 3 minutes of the release, $BTC slid from around 80,925 to 80,582, touching an intraday low near 80,580. The 80,000 level was tested head-on for the first time.
The knock-on effects: yesterday’s hotter-than-expected CPI and tonight’s hotter-than-expected PPI pushed the odds of a 25-basis-point rate hike at the October 28 Fed meeting to about 27%, according to CME FedWatch, up from just 17% last Friday. US stocks posted their biggest one-day drop since July on Wednesday, and South Korea’s Kospi fell 7.5% today.
But it’s not all over yet: the 80,000 level is still holding for now, Fed Chair Warsh is due to speak on Friday, and the October 27–28 meeting hasn’t happened yet. The direction isn’t set in stone just yet.
Source: BLS official PPI report (released tonight at 20:30 Beijing time). At the time of writing, $BTC was at $80,341 (-1.51%), according to live TradingView data from Bitstamp.
What do you think? Can the 80,000 level hold?
For informational purposes only; not investment advice.
In plain English: factory-gate prices rose 1.3% in a single month—more than double what the market expected, and the biggest monthly increase since March 2022. Year over year, PPI was up 6.3% (versus 5.5% expected)—also way above forecast.
Core PPI was no exception: up 0.7% month over month (versus 0.3% expected) and 5.0% year over year (versus 4.4% expected). The numbers beat expectations across the board.
The BLS report singled out gasoline: prices jumped 20.3% in a month, accounting for half of the increase in goods prices; energy overall was up 10.8%. Once again, oil prices are stirring things up.
Within 3 minutes of the release, $BTC slid from around 80,925 to 80,582, touching an intraday low near 80,580. The 80,000 level was tested head-on for the first time.
The knock-on effects: yesterday’s hotter-than-expected CPI and tonight’s hotter-than-expected PPI pushed the odds of a 25-basis-point rate hike at the October 28 Fed meeting to about 27%, according to CME FedWatch, up from just 17% last Friday. US stocks posted their biggest one-day drop since July on Wednesday, and South Korea’s Kospi fell 7.5% today.
But it’s not all over yet: the 80,000 level is still holding for now, Fed Chair Warsh is due to speak on Friday, and the October 27–28 meeting hasn’t happened yet. The direction isn’t set in stone just yet.
Source: BLS official PPI report (released tonight at 20:30 Beijing time). At the time of writing, $BTC was at $80,341 (-1.51%), according to live TradingView data from Bitstamp.
What do you think? Can the 80,000 level hold?
For informational purposes only; not investment advice.