Economic facts shake up the expectations of the US. Consumer Price Index (CPI) core (or underlying) was 2.8% per year in March, less than 3%.
But the calmness that this number brings to financial panoramas is hidden in an indelible fear. The escalation of the “customs war” that could change the trends of the global economy.
Underlying inflation Measure price increases without food or energy for its volatilityprovides signs of stability.
IPC core It reflects a more rigid trend and is key to the US Federal Reserve, as it serves as a compass for monetary policy decisions.
This 2.8% suggests that At least for now, inflationary pressure is included. But the panorama is complicated.
Trump Sisugu stands up against China
As reported yesterday, President Donald Trump announced a three-month break on “mutual” tariffs Applies to several countries except China where commercial tensions do not occur.
Tariffs on the Second World Economy will rise from 104% to 125%. This is a measure Trump justified in response to his “lack of respect” for the United States.
This turn of tariff politics will continue to make the most of uncertainty. The market responded to easing from 10% rate cuts in other countries, but Conflict with China awakens fear of retaliation that could make the goods more expensive And in the future, we will cover consumer prices.
Tariffs that threaten living expenses
The sustainability of high tariffs on China, in particular, could lead to an increase in the cost of living in the United States. If imports are more expensive, inflation can rebound, with 2.8% of data exhaling Today’s offer.
For the Fed, which uses a basic CPI as a guide, this represents a dilemma. Maintain current stability or prepare for a larger inflation scenario This requires adjustments to the strategy.
On the other hand, if inflation is still included, the Fed can choose to cut interest rates. The movement reduces loans and encourages investors to seek assets such as Bitcoin. After touching a minimum of 74,000 this week, its price was already above $80,000.
Bitcoin in Vision: An Unexpected Winner?
Rate reductions reduce bonds’ appeal and drive investors to options such as Bitcoin.
Furthermore, recognition of Bitcoin as a reserve of value similar to gold; Strengths in an environment of economic uncertainty and potential dollar weakness. As the Fed maintains or lowers fees in the face of controlled inflation, demand for BTC could continue to increase.
However, the panorama is not unidirectional. The “Tax War” introduces risks that could change this dynamic. The decline dollar for LAX currency policy favors Bitcoin, However, long-term commercial conflicts can cause fear of recessioneven affects digital assets.
The 2.8% inflation fact provides a momentary rest, but the Economic Committee is still full of moving parts. The suspension of tariffs on some countries is in contrast to escalation against China, and the market shakes optimism and attention.
(tagstotranslate)bitcoin(btc)