#July PPI Beats Expectations

#July PPI Beats Expectations: Crypto Market Reacts

U.S. Producer Price Index (PPI) surged 0.9% month-over-month in July—well above the expected 0.2%. Year-over-year, PPI climbed 3.3%, marking its sharpest 12-month gain since early 2023 . Core PPI, excluding food and energy, also jumped 0.9% MoM, pushing the annual rate to 3.7%, exceeding expectations of 2.9% .

Key Impacts:

Federal Reserve rate cut hopes dimmed, as hotter inflation may delay easing .

Bitcoin dropped sharply, testing levels around $117K after the inflation surprise rattled markets .

Crypto liquidations exceeded $1 billion, hitting both long and short positions amid sudden volatility .

Markets face elevated uncertainty in the short term. Traders should remain cautious, monitoring inflation trends, Fed signals, and technical price levels closely.