Tonight at 8:30 PM, CPI showdown

First, the result: currently expecting major negative news, the market still has room to fall!
Last year, the Federal Reserve cut interest rates three times, on: 2025/9/17, 2025/10/29, 2025/12/10
Basically in sync with CPI, September CPI stabilized, with one cut, and by the end of the year, CPI continued to decline, with two cuts; this year, it is about to rebound for three consecutive months, mainly influenced by the Strait of Hormuz. If there were no US-Iran conflict, the CPI trend in the first half of the year would have been downward. If so, interest rate cuts should have already started this year!
However, the US-Iran peace agreement is still far off, CPI has rebounded for three consecutive months, and far exceeds the same period last year, creating enormous pressure. Coupled with the strong non-farm payrolls, the risk market is bound to remain under pressure!
After gold was hit hard by the non-farm payrolls last Friday, tonight’s unexpectedly high forecast adds more pressure. Gold has already led the way down by $200!
BTC, affected by the blood-sucking of US stocks, has shifted from direct competition with the Nasdaq to serving US stocks as a subordinate. Previously, capital allocation considered how much funds to allocate to the crypto space in batches; now, after crypto fully capitulated to US stocks, capital treats BTC as an ETF, with no need to be a separate investment sector or industry;
A standalone sector and just an ETF are completely different!
Since 1011, the market has often experienced violent drops, with sharp declines lasting a week, half a month, or even a month, which already speaks volumes!
So, all-in is no longer an option!
The current era should be viewed as a normal investment target; the period of high growth and high dividends has officially ended!
The weekly contracts have not been opened yet, be patient. The market direction is unclear, so just trade gold and US stocks! Liquidity has sharply decreased to the levels of 2023-2024, but the number of noses (investors) has increased by thousands!
The current market for young people in the new capital era can no longer return to the expectations of 2021, where allocation was the top priority!
The aftereffects of 1011 are still ongoing. To retain users, US stocks were launched again, which is like drinking poison to quench thirst. It seems there are reasons for users to stay, but in reality, turning an industry into a branch of US stocks fully tells capital and retail investors what the future really is!
#US May CPI to be announced soon