Summary
- The U.S. January core Personal Consumption Expenditures (PCE) price index matched market expectations, according to the report.
- Core PCE is an important indicator for the Federal Reserve (Fed)'s benchmark interest rate decisions, and it also rose 0.3% compared to the previous month, matching expert forecasts.
- As the announced inflation indicator aligned with market expectations, Bitcoin (BTC) gained momentum, breaking through the $81,500 level.
The U.S. January core Personal Consumption Expenditures (PCE) price index matched market expectations (2.6%).
According to data released by the Bureau of Economic Analysis (BEA) of the U.S. Department of Commerce on the 28th (local time), the U.S. January core PCE rose 2.6% year-over-year, matching market expectations. It also increased 0.3% compared to the previous month, in line with expert forecasts.
Core PCE is an index that excludes food and energy, which have high volatility. It is considered a key indicator that the Federal Reserve (Fed) references before making policy decisions such as determining the benchmark interest rate.
As the inflation indicator did not deviate from market expectations, Bitcoin (BTC) also saw a temporary rise. Bitcoin, which had been hovering around $80,500 before the PCE announcement, surged after the release, breaking through the $81,500 level.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
