The week of macroeconomic data has begun, and all eyes are on the U.S. Consumer Price Index for October.
The market is already heavily pricing in an 80 percent chance that the Federal Reserve will raise interest rates by 25 basis points in December. The key question is: will inflation catch its breath?
If the CPI comes in below expectations, Bitcoin and riskier assets will feel immediate relief, while the dollar and bond yields fall. But if inflation comes in high, the “higher for longer” narrative will prevail, and liquidity will remain tight.
The strength of employment has already shown that the economy is no pushover. The golden rule is not to trade on expectations alone. Watch the actual data, core inflation, the dollar, and bond yields before making any decisions.
$INIT
$PIEVERSE
$OKLO
#cpitestsdecemberrateoutlook
#cpitestsdecemberrateoutlook
The market is already heavily pricing in an 80 percent chance that the Federal Reserve will raise interest rates by 25 basis points in December. The key question is: will inflation catch its breath?
If the CPI comes in below expectations, Bitcoin and riskier assets will feel immediate relief, while the dollar and bond yields fall. But if inflation comes in high, the “higher for longer” narrative will prevail, and liquidity will remain tight.
The strength of employment has already shown that the economy is no pushover. The golden rule is not to trade on expectations alone. Watch the actual data, core inflation, the dollar, and bond yields before making any decisions.
$INIT
$PIEVERSE
$OKLO
#cpitestsdecemberrateoutlook
#cpitestsdecemberrateoutlook
