Key Fed inflation rate reaches 2.1%, causing crypto market losses

From Investing.com

October 31, 2024 3:30:23 pm:

The key Fed inflation rate hit 2.1% in September, inching closer to the 2% target. PCE price index rose 0.2% for the month, with a 2.1% 12-month inflation rate. Core inflation at 2.7%, up 0.3% from previous month. Markets anticipate a possible Fed rate cut following the release.

Crypto market reacts to inflation data with profit-taking, leading to losses across major cryptocurrencies. Bitcoin, , Pepe, Chainlink, Bonk, WIF experience losses of 1.7% to 7% in 24 hours. Liquidations worth $136 million reported. Inflation rates crucial for Fed policy decisions and impact on crypto markets.

Crypto investors eye Fed’s policy hints as blackout period approaches before Nov. 6-7 meeting. Lower inflation could lead to looser policy stance, boosting optimism for price increases in crypto. High inflation rates remain unfavorable for risk assets. Market awaits Fed’s next moves closely for potential impact on prices.

Read more at Investing.com: Key Fed Inflation Rate Released, Here’s Crypto’s Reaction By U.Today