Source: Cointelegraph Original: "{title}"
The latest core Consumer Price Index (CPI) data released in the United States, which measures inflation, came in below expectations at 3.1%, lower than the anticipated 3.2%, resulting in an overall inflation data decrease of 0.1%.
Matt Mena, a cryptocurrency research strategist at 21Shares, stated that the cooling inflation data increases the likelihood of the Federal Reserve cutting interest rates this year, which would inject much-needed liquidity into the market and drive up the prices of risk assets. Mena added, "Market expectations for rate cuts have surged significantly—currently, the market estimates a 31.4% chance of a rate cut in May, more than double from last month. At the same time, expectations for three rate cuts by the end of the year have risen dramatically, increasing more than fivefold to 32.5%, while the expectation for four rate cuts has skyrocketed from just 1% to 21%."
Despite the better-than-expected inflation data, Bitcoin (BTC) prices fell from over $84,000 at the opening of the day to around $83,000 currently, as traders grapple with the trade war initiated by President Trump and macroeconomic uncertainties.
Most market participants believe the Federal Reserve will cut rates before June 2025. Source: Chicago Mercantile Exchange Group
Is President Trump causing the market to crash to force a rate cut?
Federal Reserve Chairman Jerome Powell has repeatedly stated that the central bank will not rush to cut rates, and Federal Reserve Governor Christopher Waller has expressed a similar viewpoint.
On February 17, during a speech at the University of New South Wales in Sydney, Waller stated that the Federal Reserve should pause rate cuts until inflation decreases.
Market analysts have expressed concern over these statements, claiming that not cutting rates could trigger a bear market and lead to a significant drop in asset prices.
On March 10, market analyst and investor Anthony Pompliano speculated that President Trump is intentionally causing financial markets to crash to force the Federal Reserve to cut rates.
The U.S. government has approximately $9.2 trillion in debt maturing by 2025, unless refinanced. Source: Kobisi Communications
According to Kobisi Communications, the U.S. government needs to refinance about $9.2 trillion in debt before it matures in 2025.
If these debts cannot be refinanced at lower interest rates, it will increase the current national debt, which has already surpassed $36 trillion, and lead to a significant rise in debt interest payments.
For these reasons, President Trump has made rate cuts one of his administration's top priorities, even if it sacrifices asset markets and business interests in the short term.
Related: Analyst: The Federal Reserve "absolutely not" cutting rates in 2025 could trigger a bear market.
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
