There was good news on the US inflation front in May, as both the headline and core prices for the consumer price index increased less than expected.
CPI increased 0.1% in May according to the Bureau of Labor Statistics. Economic forecasts had been for 0.2%and April’s pace was 0.2%.
On an annual basis, CPI rose 2.4% against estimates for 2.5% and April’s 2.3%
CORE CPI, which stripes out the unstable food and energy categories, increased 0.1% last month against forecasts for 0.3% and 0.2% in April. Years over the year CPI was 2.8% against an expected 2.9% and 2.8% in April.
The markets hold for rate-cut prospects
Bitcoin
Roast approx. 0.6% in moments after the news and traded at $ 109,800, an increase of 0.3% over the last 24 hours.
Despite continued uncertainty about the path of inflation, the market remains convinced that Federal Reserve will begin to ease politics later in the year. According to the CME FedWatch tool, the traders are fully praised in two tight cuts, with the first expected in September and the second in December. For the moment, this morning’s fresh data has not changed this calculation.
A control of traditional markets finds American stock index futures reverse earlier falls and now in the green by approx. 0.4% everywhere. The 10-year-old Treasury outcome is lower by five basic points to 4.45%.
