XT Research Institute reminds that at 20:30 on July 12, 2024, Singapore time, the U.S. Department of Labor will announce: the U.S. non-seasonally adjusted CPI annual rate in June and the U.S. seasonally adjusted CPI monthly rate in June.
The U.S. Consumer Price Index (CPI) is an indicator that measures changes in the price level of a basket of goods and services and is used to reflect inflation. CPI data directly affects the Federal Reserve’s monetary policy decisions. If CPI data continues to show high inflation, the Fed may raise interest rates or reduce asset purchases, thereby reducing market liquidity, which may put pressure on riskier assets including Bitcoin. The CPI data in the United States has a significant impact on the Bitcoin market through multiple channels such as affecting inflation expectations, the value of the U.S. dollar, Federal Reserve policy, and market sentiment. Investors need to consider these factors together to understand the short- and long-term impact that the CPI data may have on the Bitcoin market.
If the announced value is less than the expected value, for example: the US unseasonally adjusted CPI annual rate in June was 3.0% <3.1%, and the US June seasonally adjusted CPI monthly rate was 0.0%