Bitcoin (BTC) fell below $74,000 after the U.S. inflation report, as both headline and core CPI exceeded forecasts.
According to the report, the Consumer Price Index (CPI) rose a seasonally adjusted 0.4% in October, above expectations of 0.3%.
September’s increase was 0.6%, the Bureau of Labor Statistics said.
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Core CPI, which excludes food and energy, rose 0.3%, matching September but beating the 0.2% forecast.
The figures showed that underlying price pressures persisted even as headline inflation slowed.
According to the report, shelter costs rose 0.3%, accounting for more than 30% of the monthly headline increase. Food prices climbed 0.5%, while energy costs increased 0.7%.
Soon after the release, Bitcoin fell, adding to early losses and dipping about 1% to $73,600. Nasdaq 100 futures were down 1.15%, and S&P 500 futures declined 0.5%. The 10-year Treasury yield rose 6.5 basis points to 4.93%, CoinDesk reported.
Traders had already fully priced in a December Fed rate increase before the release. The central bank held its benchmark rate at 3.75%–4.00% in October, CoinDesk reported.
Before the CPI release, Fed Governor Chris Waller had suggested a half-percentage-point increase could be considered if inflation came in strong.
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