{"id":124945,"date":"2025-03-12T23:15:35","date_gmt":"2025-03-12T23:15:35","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=124945"},"modified":"2025-03-12T23:15:35","modified_gmt":"2025-03-12T23:15:35","slug":"us-cpi-comes-in-lower-than-expected-are-rate-cuts-coming","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=124945","title":{"rendered":"US CPI comes in lower than expected \u2014 Are rate cuts coming?"},"content":{"rendered":"<p>Source: Cointelegraph.com NewsThe latest US core Consumer Price Index (CPI) print, a measure of inflation, came in lower than expected at 3.1%, beating expectations of 3.2%, with a corresponding 0.1% drop in headline inflation figures.<br \/>\nAccording to Matt Mena, crypto research strategist at 21Shares, the cooling inflation data adds to the likelihood that the Federal Reserve will cut interest rates this year, injecting much-needed liquidity into the markets and sending risk-on asset prices higher. Mena added:<br \/>\n\u201cRate cut expectations have surged in response \u2014 markets now price a 31.4% chance of a cut in May, up over 3x from last month, while expectations for three cuts by year-end have jumped over 5x to 32.5%, and four cuts have skyrocketed from just 1% to 21%.\u201d<br \/>\nDespite the better-than-expected inflation numbers, the price of Bitcoin (BTC) declined from over $84,000 at the daily open to now sit around $83,000 as traders grapple with US President Donald Trump\u2019s trade war and macroeconomic uncertainty.<br \/>\nA majority of market participants believe the Federal Reserve will cut interest rates by June 2025. Source: CME GroupRelated: Bitcoin\u2019s \u2018Trump trade\u2019 is over \u2014 Traders shift hope to Fed rate cuts, expanding global liquidity<br \/>\nIs President Trump crashing markets to force rate cuts?<br \/>\nFederal Reserve Chairman Jerome Powell said on several occasions that the central bank is not rushing to cut interest rates \u2014 a view echoed by Federal Reserve Governor Christopher Waller.<br \/>\nDuring a Feb. 17 speech at the University of New South Wales in Syndey, Australia, Waller said the bank should pause interest rate cuts until inflation comes down.<br \/>\nThese comments were met with concern from market analysts, who say that a lack of rate cuts might trigger a bear market and send asset prices plummeting.<br \/>\nOn March 10, market analyst and investor Anthony Pompliano speculated that President Trump was intentionally crashing financial markets to force the Federal Reserve to lower interest rates.<br \/>\nThe US government has approximately $9.2 trillion in debt that will mature in 2025 unless refinanced. Source: The Kobeissi LetterAccording to The Kobeissi Letter, the US government needs to refinance roughly $9.2 trillion in debt before it reaches maturity in 2025.<br \/>\nFailure to refinance this debt at lower interest rates will drive up the national debt, which is currently over $36 trillion, and cause the interest payments on the debt to balloon.<br \/>\nDue to these reasons, President Trump has made interest rate cuts a top priority for his administration \u2014 even at the short-term expense of asset markets and business.<br \/>\nMagazine Elon Musk\u2019s plan to run government on blockchain faces uphill battle<a href=\"https:\/\/cointelegraph.com\/news\/us-cpi-lower-expected-rate-cuts-coming?utm_source=rss_feed&amp;utm_medium=rss&amp;utm_campaign=rss_partner_inbound\" target=\"_blank\" class=\"feedzy-rss-link-icon\" rel=\"noopener\">Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"<p>Source: Cointelegraph.com NewsThe latest US core Consumer Price Index (CPI) print, a measure of inflation, came in lower than expected at 3.1%, beating expectations of 3.2%, with a corresponding 0.1%&hellip; <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/124945"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=124945"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/124945\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=124945"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=124945"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=124945"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}