October CPI running hotter than forecast is fueling expectations of Fed rate hikes, and this story is driving both stocks and crypto. 📊
According to @Cointelegraph, Deutsche Bank expects the Fed to raise rates by 25 basis points in December, January, and March, lifting the policy range to 4.50%–4.75%. On Polymarket, the probability of a 25 basis-point hike in December was recorded at 87% after U.S. CPI came in above expectations. Ahead of the CPI release, Fed Governor Waller was said to lean toward a 25-point hike if inflation cooled, and had previously mentioned a 50-point move if core CPI was around 0.3% or higher; the October core CPI forecast at the time was +0.2% month over month.
In the 11/11 session, @setsuo_gaming reported Nasdaq +2.2%, S&P 500 +1.6%, Dow +0.5%, with semiconductors rebounding, while hotter CPI still kept expectations for a December rate hike intact. At the same time, @Cointelegraph noted oil extending its sharpest weekly decline since 2020, with Brent falling below $98/barrel as the market weighed U.S.–Iran negotiations and new tensions in the Middle East. Fed research cited suggested that an oil-price shock could push core inflation higher and for longer than before the pandemic.
In digital assets, @Cointelegraph and @defaiscope said Strategy holds 850.364 $BTC , about 4.2% of circulating supply according to one report. MSCI released a list of inactive companies after the U.S. session, and Strategy is a candidate for removal from the index, with forced selling of about $1.57–2.8 billion in MSTR shares estimated, but no mandatory bitcoin selling. Deutsche Bank launched digital asset custody services; PNC was mentioned as testing payment acceptance $USDC for corporate clients on $ETH , according to @Cointelegraph and @lulxsin.
Higher rate expectations could tighten risk liquidity, but custody and stablecoin payment news show that crypto infrastructure is still being tested by traditional institutions.
⚠️ Information sourced from X / the market, not investment advice. DYOR and manage risk.
According to @Cointelegraph, Deutsche Bank expects the Fed to raise rates by 25 basis points in December, January, and March, lifting the policy range to 4.50%–4.75%. On Polymarket, the probability of a 25 basis-point hike in December was recorded at 87% after U.S. CPI came in above expectations. Ahead of the CPI release, Fed Governor Waller was said to lean toward a 25-point hike if inflation cooled, and had previously mentioned a 50-point move if core CPI was around 0.3% or higher; the October core CPI forecast at the time was +0.2% month over month.
In the 11/11 session, @setsuo_gaming reported Nasdaq +2.2%, S&P 500 +1.6%, Dow +0.5%, with semiconductors rebounding, while hotter CPI still kept expectations for a December rate hike intact. At the same time, @Cointelegraph noted oil extending its sharpest weekly decline since 2020, with Brent falling below $98/barrel as the market weighed U.S.–Iran negotiations and new tensions in the Middle East. Fed research cited suggested that an oil-price shock could push core inflation higher and for longer than before the pandemic.
In digital assets, @Cointelegraph and @defaiscope said Strategy holds 850.364 $BTC , about 4.2% of circulating supply according to one report. MSCI released a list of inactive companies after the U.S. session, and Strategy is a candidate for removal from the index, with forced selling of about $1.57–2.8 billion in MSTR shares estimated, but no mandatory bitcoin selling. Deutsche Bank launched digital asset custody services; PNC was mentioned as testing payment acceptance $USDC for corporate clients on $ETH , according to @Cointelegraph and @lulxsin.
Higher rate expectations could tighten risk liquidity, but custody and stablecoin payment news show that crypto infrastructure is still being tested by traditional institutions.
⚠️ Information sourced from X / the market, not investment advice. DYOR and manage risk.