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The latest US PPI number caught my attention.

5.4% year over year.

At first glance, that's just another inflation number but what if I told you the interesting part isn't really the number itself?

What happens when you put it next to everything the market has been expecting from the Fed?

For months, the big hope has been that inflation keeps cooling enough for rates to come down without the economy falling apart.

That's a pretty nice environment for risk assets.
Crypto likes easier liquidity.

Tech stocks like lower discount rates.

Gold likes uncertainties, I've been struggling to catch a single pip on it for months 😞

But a PPI reading this hot makes that story a little harder to sell.

And that's where I think traders need to be careful.

A hot PPI print doesn't automatically mean:
"Sell everything."

It means the market now has another reason to question how quickly inflation is actually coming down.

So my focus isn't just on whether BTC or the Nasdaq moves today.

I'm watching what happens to rate expectations.

If the market starts pushing expected cuts further out, risk assets could feel that pretty quickly.

If yields absorb the number and the market shrugs it off, that's a completely different signal

For me, the trade isn't just about "PPI is high, therefore bearish."
But more of

"Did this number actually change what the market thinks the Fed will do next?”

That's the reaction I want to see.

#AugustCoreCPIBeatsExpectations #GateTop4MainstreamCEX ‌$NAS100 $BTC
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Comment 7
MrFlower_XingChen
How much upside is left ?
VenandiAuthor
I'm done predicting bro 😭
I'm just gonna watch it
AirdropRefugee
As soon as this data came out, the probability of a 50-basis-point rate cut in September plunged, and risk assets need to be repriced.
PositionSplitter
PPI at 5.4% is indeed striking; the key is how interest rate futures price it in, not the number itself.
MacroPawn
Bro, you’re right to keep an eye on rate expectations—BTC and the Nasdaq are both options on the Fed put now.
Beta_Degen
The core point is this: it’s not whether the data is high or low, but whether market pricing has changed.