US Inflation Drops to 3.3%, Crypto Market Turns Bullish
The US economy has slightly recovered from the consistent grip of inflation in May. According to the latest report from the Labor Department, the CPI inflation rate has dropped to 3.3%.
Key points:
- CPI showed no monthly increase in May, defying economists’ expectations of a 0.1% rise.
- The annual CPI inflation rate stood at 3.3%, slightly lower than the anticipated 3.4%.
- Core CPI, which excludes volatile food and energy prices, rose 0.2% monthly and 3.4% annually.
- Economists surveyed by Dow Jones had expected the core CPI to increase by 0.3% monthly and 3.5% annually.
- Following the report, the crypto market turned bullish.
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Crypto market turns bullish after US CPI data dropped
The latest inflation figures came as a surprise to economists surveyed by Dow Jones. They had predicted a 0.1% monthly increase and a 3.4% annual rate. The core CPI rose 0.2% on a monthly basis and 3.4% from a year ago.
These figures were also lower than the respective estimates of 0.3% and 3.5% anticipated by economists.
The crypto market turned bullish right after the data came out. Bitcoin rose by 2.64% in the last hour, while Ethereum breached the $3,600 level by rising 3.25%.
The overall crypto market has been bearish for the past few days. However, the market has turned bullish after the news of lower than expected CPI numbers.
