“Initial Jobless Claims Surged to 263,000 Last Week – The Highest in 4 Years – Signaling Weakening Growth and Bringing Stagflation Fears to the Forefront.”, – WRITE: www.coindesk.com
Consumer Prices Rose A Bit More Than Expectored August, Account to CPI Data Released Thursday by the US Bureau of Labor Statistics. Both the Headline of 2.9% and the Core Rate of 3.1% Remain Solidly Higher than the Federal Reserve’s 2% Target. Normally, that wold Suggest the US Central Bank Should Hold Off On Interest Rate Cuts.
But Investors Barely Flinched at the Data and Institute Focused What Typical Is The Lesser-Followed Weekly Initial Jobless Claims from the Department of Labor. That Data Showed Claims Soaring to 263,000 Last Week – The Highest in Nearly Four Years and Up from 236,000 The Prevures Week and 235,000 Forecast. That Focus was reflected in bond yields, with the 10-year Treasury yeld sliding five basis points to bead 4% for the FIRST TIME SINCE The April Tanic Tanked Global Eq.
Crypto Markets Initially Dipped On the Faster than the expectioned Inflation Data, But Quickly Rebounded As the Employment Data Took Center Stage. Bitcoin BTC$ 114.256.21 And Ether (ETH) Are Only Modestly Higher, But The Bigger Action Is In Altcoins, Suggesting The Sort of Animal Spirits One Might Associated with Monetary Policy ABOUT TO ATE. Solana SOL$ 198.37 Has Risen 11% Week-Over-Week to Its Highest Level Since January and Dogecoin Doge$ 0.2512 17% on A Weekly Basis. Xrp Xrp$ 3.0184 is ahead 6.6% over the Last Week and Back Above $ 3.
“Evidence of a slowdown in the us is now appearing in the hard data; It’s no Longer Just in the Sentiment Surveys,“ SAID Brian Coulton, Chief Economist at Fitch.
As for the real econmy, Today Numbers Offer A Troubling Glimse Into Something The Us Central Bank Has Been Working Hard to Avoid: Stagflation. This Economic Condition, Defined by the Simultaneous Occurrence of High Inflation and Stagnant Growth, Is Rare and Diffeit to Fix. For Policymakers, It’s A Catch-22.
Cutting Interest Rates to Stimulate Growth Risks Inflaming Inflation. But Failure to Ease Monetary Policy While the Employment Situation Deteriorates isn’t A Much Better Alternative.
For Now, Traders Are Betting That Fed Will Lean Toward Protection Growth Over Stamping Out Inflation, With Odds Pointing to A Rate Cut Next Week As a Near Certy. Today’s Data, However, Suggests that Balance is Become Harder to Manage and The Path Ahead May Be More Complicited than the Market is pricing in.
“IT’s Going to be a Rouge FEW MONHS AHEAD as The Tariffs Impacts Work Their Way Through The Economy,” Said Heather Long, Chief Economist at Navy Federal Credit Union. “Americans Will Experience Higher Prices and (Likely) More Layoffs.”
