US PCE comes in cooler than expected: Bitcoin briefly tops $85K, then retreats
- —August PCE: 3.4% YoY vs 3.7% expected; MoM at 0.2% vs 0.3%
- —Bitcoin spiked to $85,000 in 10 minutes, then slipped back below
- —Polymarket odds of the Fed holding rates in October rose above 65%
- —US changed PCE methodology for three categories, revising data back to 2021
Why it matters: The cooler PCE lowers the odds of an October rate hike, but the methodology revision makes the inflation improvement partly artificial.
Source: The Cryptonomist (IT)