Economic Calendar June 10–14
The release of the core consumer price index (CPI) statistics on June 12 will make it a highly busy day. This information is crucial for gauging inflation in the economy and influences the Fed’s choices about interest rate changes and other aspects of monetary policy.
Increased inflation is indicated by a higher CPI figure, which usually puts pressure on the Fed to either raise or maintain interest rates. It is expected that the year-over-year CPI number will stay at 3.4%, indicating that this week’s rate change by the central bank will not occur.
As noted by CryptoPotato in May, there have been significant similarities between the price of Bitcoin and CPI statistics this year. For the digital asset, higher-than-expected CPI has been pessimistic while lower-than-expected CPI has been optimistic.
The producer price index (PPI) core figures are scheduled to be announced on Thursday, June 13. A useful supplementary inflation indicator, this one tracks the average change in selling prices received by domestic producers of goods and services over time. FOMC policymakers use it closely.
According to Oxford Economics’ chief US economist Ryan Sweet, “The Fed is waiting for a string of data that strengthens its confidence that inflation is on a sustained path toward its 2% target.”
The first-rate cut is anticipated by analysts to occur during the central bank’s September policy meeting, which is the last assembly before the presidential election on November 5.
In an investor note released on Friday, Bank of America analysts stated that “it [the Fed] should project two rate cuts this year and a cutting cycle that begins in September.”
Impact of the Crypto Market
Since it is quite expected that rates will stay constant, the Fed’s rate decision has probably already been taken into account by the cryptocurrency markets.
Midweek volatility is possible, but the sideways momentum is most likely to persist. While Bitcoin’s dominance is still high, altcoins may suffer, delaying the idea of altseason for the time being.
On June 9, cryptocurrency trader “Emperor” discussed the status of the market with his 390,000 followers on X.