Bitcoin 
Ethereum 
Tether 
BNB 
XRP 
USDC 
Solana 
TRON 
Lido Staked Ether 
Figure Heloc 
Prior +3.0%Core CPI +3.2% vs +3.1% y/y expectedPrior +3.1%To preface the report, it is one that doesn’t matter all too much since it is before the US-Iran conflict took place. Still, it does provide a bit of backdrop of what kind of benchmark UK inflation is sitting at before the spike in energy prices.Core annual inflation remains sticky above 3% with services inflation continuing to be a pain point. That despite it easing from 4.4% to 4.3% in February.Looking at the monthly breakdown, the biggest contributor to inflation in February came from clothing and footwear prices. That was seen up 0.6% on the month with ONS noting that “prices normally rise in February as the spring product ranges start to enter the shops following the new year sales period”.Besides that, there’s not too much else to note here as we now have to just wait and see what the US-Iran conflict has done to energy developments and its overall impact to prices globally. The UK will definitely feel the impact of higher prices in the months ahead. So, be on the lookout for that as said sentiment has already shifted the BOE outlook.As things stand, traders are pricing in nearly three 25 bps rate hikes by the central bank by year-end now. The odds of a rate hike in April are at ~86% as of yesterday.
This article was written by Justin Low at investinglive.com.
💡 DMK Insight
Core CPI data just came in slightly higher than expected, and here’s why that matters: While the 3.2% year-over-year figure is above the anticipated 3.1%, traders should be cautious about reading too much into this report. With the ongoing US-Iran conflict, market sentiment is likely to be swayed more by geopolitical tensions than by inflation metrics. This could lead to volatility in both forex and crypto markets as investors react to news rather than fundamentals. If inflation continues to trend upwards, it might pressure central banks to adjust monetary policy sooner than expected, which could impact interest rates and subsequently affect asset valuations. Keep an eye on the correlation between the GBP and USD, especially as traders digest this inflation data against the backdrop of geopolitical risks. A breakout above key resistance levels in the GBP/USD pair could signal a shift in sentiment, while a failure to hold support might lead to a sell-off. Watch for reactions around these levels as the situation unfolds, especially in the coming week as more data and news emerge.
📮 Takeaway
Monitor GBP/USD closely; a breakout above resistance could signal a shift, while geopolitical tensions may drive volatility in the coming week.
