$BTC & Macro Watch 📉 | Inflation Heats Up Again

Just when markets were getting comfortable, U.S. inflation threw a curveball. December PPI jumped to 3.0%, beating expectations of 2.7% — a clear sign that cost pressures are building again at the producer level.

Why does this matter? PPI usually moves before CPI. If producers are paying more now, consumers often feel it next. That makes the “inflation is cooling” narrative much harder to defend.

For crypto and risk assets, this isn’t great news. Persistent inflation reduces the chances of fast rate cuts and keeps the Fed in a tight spot. With pressure already mounting on Jerome Powell and uncertainty around future leadership, policy decisions just got more complicated.

Liquidity may stay tight longer than markets hoped. The road ahead for $BTC and equities won’t be as smooth if inflation refuses to cooperate.

So what’s next — does the Fed stay cautious, or are expectations about rate cuts about to be reset?

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#Macro #Inflation #Fed #bitcoin #CryptoMarkets

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