Reserve

Jerome Powell

Chair

Tornado Cash

U.S. Federal Reserve Chair <a rel="nofollow" href="https://www.youtube.com/watch?v=3TufaG29B7w" target="_blank">Jerome Powell’s speech</a> reflected slightly hawkish comments on restrictive monetary policy and interest rate cuts amid ongoing inflationary pressures and a strong labor market. The progress toward bringing inflation back down to its 2% target this year has stalled as some raised stagflation concerns, which were denied by Powell again. 
He said the US economy remained resilient amid a strong labor market. Speaking about inflation, he hinted at concerns over the hotter inflation in recent months causing the Fed to lose confidence in earlier <a href="https://coingape.com/feds-powell-is-in-no-rush-for-interest-rate-cuts-more-pain-for-bitcoin-btc/" target="_blank" rel="noopener">rate cuts</a> this year. 
<h2 id="ppi-inflation-data-comes-in-hot">PPI Inflation Data Comes in Hot</h2> 
The U.S. Bureau of Labor Statistics released the <a href="https://coingape.com/bitcoin-holds-61k-mark-despite-gloomy-us-ppi-data/" target="_blank" rel="noopener">PPI</a> inflation data for April today, which comes in hot. The monthly PPI increased 0.5% against the expected 0.3%. The monthly core PPI was up 0.5%, much higher than forecasts of 0.2%. The annual PPI was steady at 2.2% and the annual core PPI rate went up to 2.4% from a downwardly revised 2.1%. 
Jerome Powell said the Fed will continue to analyze further quarter economic data and fight inflation to bring to the 2% target, denying any rate hike. Other Fed officials were hawkish on rate cuts and commented on lesser rate cuts this year. 
<h2 id="stock-market-reactions">Stock Market Reactions</h2> 
Crypto and stock markets remain under pressure as traders await key <a href="https://coingape.com/cpi-jpmorgan-other-banks-estimates-higher-inflation-bitcoin-to-fall-below-60000/" target="_blank" rel="noopener">CPI</a> inflation data due Wednesday. The market expects a fall in annual CPI inflation to 3.4% from 3.5%. 
The US stock market has opened flat as traders digest fresh PPI data and wait for CPI numbers for further guidance on market trends. <a rel="nofollow" href="https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html" target="_blank">CME FedWatch Tool</a> shows a 49% probability of 25 bps rate cuts starting September, with further rate cuts expected in November and December. 
The new inflation data caused&nbsp;US dollar index&nbsp;(<a rel="nofollow" href="https://www.marketwatch.com/investing/index/dxy" target="_blank">DXY</a>) to drop to 105 and the US 10-year Treasury yield also fell 4.471%. As Bitcoin moves opposite to DXY and Treasury yields, a rise in both has caused a downfall in Bitcoin price to $60k, triggering a crypto market selloff. 
<h2 id="bitcoin-price-remains-under-pressure">Bitcoin Price Remains Under Pressure</h2> 
<a href="https://coingape.com/price/bitcoin" target="_blank" rel="noopener">BTC price</a> fell nearly 3% today, with the price currently trading near $61,200 again. The 24-hour low and high are $61,156 and $63,422, respectively. However, the trading volume has increased by 11% in over the last 24 hours, indicating a rise in interest among traders. 
Altcoins including Ethereum, BNB, Solana, Toncoin fell 2-8% in the last 24 hours amid PPI inflation and Fed Chair Powell’s speech. 
Also Read: 
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 <li><a href="https://coingape.com/btc-to-face-2-7-billion-liquidation-if-price-hits-this-level/" target="_blank" rel="noopener">Bitcoin Price: BTC To Face $2.7 Billion Liquidation If Price Hits This Level</a></li> 
 <li><a href="https://coingape.com/binance-cease-support-xrp-with-condition/" target="_blank" rel="noopener">XRP News: Binance To Cease Support For XRP With A Condition</a></li> 
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The post <a href="https://coingape.com/jerome-powell-speech-today-fed-chair-slightly-hawkish-after-inflation-data-bitcoin-jitters/">Jerome Powell Speech Today: Bitcoin Crash Jitters As Fed Chair Slightly Hawkish</a> appeared first on <a href="https://coingape.com">CoinGape</a>.

Jerome Powell Speech Today: Bitcoin Crash Jitters As Fed Chair Slightly Hawkish

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