Donald Trump's recent announcement regarding no tariffs on gold has drawn attention amid rising concerns about US inflation, which is expected to spark volatility in the cryptocurrency market.
US Inflation Predictions
The latest US inflation figures are expected to be released shortly before market opening. Yearly increases are forecasted for both core and headline inflation rates. A slight deceleration of 0.1 points is anticipated for the monthly headline inflation increase, while an opposite trend is expected for the monthly core inflation. This report will also reveal the influence of tariffs on inflation rates.
Bank Predictions
Multiple banks have prepared their forecasts for inflation:
### ANZ ANZ predicts a 0.32% monthly rise in core CPI. Analysts emphasize deflationary conditions within core services, excluding rent.
### ING Bank For July CPI, ING forecasts a 3% increase. Bank officials believe that weakening labor market conditions will not hinder interest rate cuts despite anticipated rising CPI.
### Goldman Sachs Goldman economists anticipate a monthly increase of 33 basis points in core CPI. They state that if new labor market trends confirm, it’s unlikely to restrain the Fed.
> "If the inflation report aligns closely with our expectations, it could serve to eliminate uncertainty."
### Morgan Stanley Morgan Stanley expects a 32 basis point monthly increase and a 3.04% annual CPI. Economists believe the tariff impacts will be more evident in basic goods.
> "Our primary scenario is that most price effects related to tariffs will occur during summer. However, there’s a risk of a more gradual increase until year-end."
Market Response
Higher-than-expected inflation figures may negatively impact the cryptocurrency market, as they could diminish the feasibility of interest rate cuts. The market is awaiting new data to clarify the current situation.
Ahead of the publication of US inflation data, banks express diverse predictions, highlighting uncertainty in the economy. The impact of these figures could significantly affect financial markets and the future of cryptocurrencies.
