US economy After 3 years, it narrows again, and the data that comes today show that the Fed’s job is even more difficult. Crypto currency We mentioned that this week will be extremely busy for investors. If the article was prepared, the US PCE data was announced.
Why is Bitcoin falling?
USA Bitcoin is falling due to the fact that data points to the problems in the economy and Trump’s statements of “this Biden’s stock market”. The US stock markets made a bad opening, while the employment weakened, and minus figures came in economic growth. The expectation for core PCE data was 2.6 %. The previous month’s data was 2.8 %.
PCE It came to 2.3 %near the expectation. The core PCE is compatible with the expectation of 2.6 %.
- US kernel PCE Price Index Monthly Described: 0.0 %(estimation 0.1 %, previous 0.4 %)
- US PCE Price Index Monthly Described: 0.0 %(estimation 0 %, previous 0.3 %)
- US kernel PCE Price Index Annual Described: 2.6 %(estimation 2.6 %, previous 2.8 %)
- US PCE Price Index Annual Described: 2.3 %(Estimation 2.2 %, Previous 2.5 %)
- US consumer expenditures announced monthly: 0.7 %(estimation 0.6 %, previous 0.4 %)
The data reflecting the decrease in inflation says the FED should now reduce interest rates after the latest recession signals.
For this reason BTC It experienced an increase of $ 500, but there is a problem. Since the tariffs are expected to increase inflation again, PCE, which is the inflation indicator followed by the FED, may say that even if it comes low, the institution will not increase interest rates. In this case, recession signals will worsen. In the other scenario, inflation will increase while interest rates land. In both cases, the Fed’s job is difficult and the appearance for crypto coins is risky.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
