June US CPI rose 0.3% as expected ─ Core index rose 0.2%, slightly below expectations | CoinDesk JAPAN

• The Consumer Price Index (CPI) for June in the U.S. rose by 0.3% as expected for the overall index, while the core index rose by 0.2%, slightly below expectations.
• This news may strengthen the view that the Fed will resume interest rate cuts in September.
• Bitcoin, which had sharply declined before the announcement, rose slightly in response to the announcement.

The overall index of the June CPI rose by 0.3%. The economists' forecast was 0.3%, and in May it was only a 0.1% increase. Year-on-year, it rose by 2.7%. The forecast was a 2.7% increase, and in May it was a 2.4% increase.

The core index, excluding food and energy prices, rose by 0.2% in June. The forecast was a rise of 0.3%, and in May, it was a rise of 0.1%. Year-on-year, it increased by 2.9%. The forecast was a rise of 3.0%, and in May, it was a rise of 2.8%.

Bitcoin (BTC) had sharply declined from its all-time high of nearly $124,000 (about 17.98 million yen, based on an exchange rate of 145 yen per dollar) just about 24 hours ago, but slightly recovered to $117,300 immediately after the CPI announcement.

In traditional markets, US stock index futures rose slightly, with the S&P 500 up 0.4%. The 10-year bond yield decreased by 2 basis points to 4.41%.

As investors watch for signs of whether inflation is easing enough for the Federal Reserve (FRB) to consider interest rate cuts within the year, this new data has been released. At least two FRB members have argued for a quick rate cut at the FRB meeting as early as late July, but they have not received broad support from Jerome Powell, the FRB Chairman, or other FRB policymakers.

Therefore, the main candidate for the meeting where rate cuts might resume is the next meeting of the FRB, specifically the September meeting. According to CME FedWatch, just before the CPI announcement in the morning U.S. time, the probability of a rate cut occurring in September was just under 62%.

| Translation and Editing: Rina Hayashi | Image: Shutterstock ｜Original text: U.S. June CPI rise an in line 0.3%; Core rate slightly better than hoped at 0.2%