[Market focus this week: Inflation data revealed, good news expectations rise! 🔥]

Family, the focus of the market this week is on the August CPI report at 8:30 pm on Wednesday! We in the East 8th District must pay close attention to it. Economists expect that the year-on-year increase in the overall CPI in the United States in August will slow from 2.9% in July to 2.6%. This is great news! 🎉

Why is it good news? Because the decline in natural gas prices and the stability of food prices are both contributors to controlling overall inflation. If the forecast comes true, the year-on-year CPI inflation will hit a new low since March 2021! Not only that, the core CPI inflation excluding food and energy prices is also expected to fall to 3.2% year-on-year.

Let's look at the dynamics of the Federal Reserve. According to CME's "Fed Watch", the probability of the Federal Reserve cutting interest rates by 25 basis points in September is 70%, and the probability of a 50 basis point cut is also 30%. This means that if the inflation data does unexpectedly decline, the expectation of a 50 basis point rate cut may rise!

Family members, this is a real benefit! For our currency circle, the rising expectation of rate cuts often means that market liquidity may increase and risk appetite may also increase. In this way, the cryptocurrency market may also usher in a small spring~🌞

Of course, the specific trend depends on the market reaction after the data is released. But in any case, this expectation is enough to look forward to! On Wednesday night, let's watch the data together! 👀

#CPI数据 # #美联储降息周期 # #美国大选如何影响加密产业？ #