US Inflation Data Aligns with Expectations, Keeping Crypto Market Guessing

The latest US inflation data was released on August 12, showing a year-over-year increase of 3.4% in the Consumer Price Index (CPI), exactly matching consensus estimates.

This slowdown from June's 3.5% CPI reading did not surprise economists, who had forecasted a cooling to 3.4%, and core inflation also met expectations at 2.5% year-over-year, down from 2.6% previously.

Investors are now focused on the Federal Reserve's September policy meeting, where they will consider the latest data in making their decisions about interest rates.

The Fed has emphasized that policy decisions will remain data dependent, and with inflation continuing to moderate without producing another significant downside surprise, markets are waiting for further economic releases before making a move.