Hot inflation data pours cold water on Federal Reserve rate cut hopes
Key takeaways
- Bitcoin was trading at $80,600 following the report.
- The Consumer Price Index (CPI) year-over-year rose 3.8% in April, according to a report from the Bureau of Labor Statistics.
- On a month-over-month basis, CPI rose 0.6%, above expectations of 0.3% and up from March's 0.2%.
By James Van Straten|Edited by Shaurya Malwa May 12, 2026, 12:47 p.m. 1 min read Make preferred on What to know: April CPI rose 0.6% for the month and 3.8% year-over-year.Markets continues to price in no Fed rate cuts for the June 17 meeting. Bitcoin was trading at $80,600 following the report. U.S. inflation data came in hotter than expected on Wednesday, reinforcing expectations that the Federal Reserve will keep interest rates steady at 350-375bps not only at its June 17 meeting, but also likely through the end of the year.
The Consumer Price Index (CPI) year-over-year rose 3.8% in April, according to a report from the Bureau of Labor Statistics. Economists' forecasts had been for a rise of 3.7% following March's 3.3% increase.
On a month-over-month basis, CPI rose 0.6%, above expectations of 0.3% and up from March's 0.2%.