CPI Meets Market Expectations; US Stocks Rise, Bitcoin and Ethereum Enter Consolidation Phase

CPI Meets Expectations, Waiting for Federal Reserve Interest Rate Decision

Last night, the US Bureau of Labor Statistics released the Consumer Price Index (CPI) data, with November CPI rising by 0.1%, a 3.1% increase compared to the same period last year. Excluding the more volatile food and energy prices, core CPI rose by 0.3% from the previous quarter and 4% from the same period last year. These figures are in line with market expectations and similar to those in October.

Meanwhile, the Federal Reserve is holding a two-day interest rate meeting and will announce the latest interest rate policy and economic forecasts early Thursday morning.

According to the CME FedWatch Index, 98.4% of investors are confident that the Federal Reserve will maintain interest rates at a high range of 5.25-5.5%. However, investors will pay attention to Chairman Powell’s remarks during the post-meeting press conference, as well as the release of the dot plot (indicating each committee member’s projected interest rate for next year) and economic forecasts.

Currently, the market generally believes that the Federal Reserve may start an interest rate cut cycle as early as May next year.

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Further reading
JPMorgan: Bitcoin Halving and Spot ETF Approval Already Price-in, ETH Expected to Outperform BTC Next Year
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