Farcaster

The January CPI report, due out on Wednesday, is the first US economic data with implications for cryptocurrencies this week. The report comes after December's CPI rose marginally to 2.9 percent year-on-year. Meanwhile, the core inflation rate has decreased to 3.2 percent.
In the last meeting, the Federal Reserve kept its interest rate unchanged in the range of 4.25% to 4.50%. They emphasized the need for continued improvement in the inflation rate before considering rate cuts. The Federal Reserve Bank of Cleveland's Inflation Nowcasting model forecasts that the CPI will reach 2.85 percent, a slight decrease of 0.5 percent. It is also expected that the core inflation rate will decrease slightly to 3.13%.
Beyond the US inflation numbers, crypto markets are eagerly awaiting comments from Federal Reserve Chairman Jerome Powell. His testimony is expected to play a vital role in determining the direction of US interest rates. What he says about US President Donald Trump's tariffs will be of particular interest.