MarketsU.S. June CPI Declines 0.4%, Likely Reducing Fed Rate Hike Expectations
The latest report may significantly influence the Federal Reserve's decision on interest rates at its upcoming late-July meeting.
By James Van Straten, Stephen Alpher|Edited by Stephen AlpherUpdated Jul 14, 2026, 12:43 p.m. Published Jul 14, 2026, 12:33 p.m. 1 min readMake preferred on ShareShare this articleCopy linkX (Twitter)LinkedInFacebookEmailMake preferred on
SummaryShow- The headline CPI for June decreased by an unexpected 0.4%.
- The core CPI remained unchanged, while a rise of 0.2% was anticipated.
- This development is likely to quell the increasing expectations of a Fed rate hike in July.
The inflation data for June in the U.S. was considerably lower than anticipated, which is likely to temper the rising expectations for an imminent hike in Federal Reserve interest rates.
The Consumer Price Index (CPI) decreased by 0.4% in June, contrary to economist predictions of a 0.1% decline and following a significant 0.5% increase in May.
Year-over-year, the CPI increased by 3.5%, compared to expectations of 3.8% and 4.2% in May.
Excluding food and energy, the core CPI remained unchanged in June, against forecasts of a 0.2% increase and a similar 0.2% rise in May. On a year-over-year basis, the core CPI rose by 2.6%, versus anticipated growth of 2.8% and 2.9% in May.
Following the release of these softer figures, Bitcoin rose to $63,400, marking a roughly 2% increase over the last 24 hours. U.S. stock index futures also saw an uptick, with the Nasdaq 100 climbing by 1.25%.
Bond yields experienced a notable drop, with the U.S. 2-year Treasury yield falling by seven basis points to 4.19%, while the 10-year yield decreased by five basis points to 4.56%.
June's CPI figures were particularly significant after Fed Governor Chris Waller indicated yesterday that he would support an immediate rate hike if core CPI did not decrease in this morning's report. In fact, prior to this report, the likelihood of a July rate hike had surged from 8% to as high as 42%, according to CME FedWatch.
Investors will soon hear from Fed Chairman Kevin Warsh, who is set to testify before Congress regarding economic conditions in approximately 90 minutes.
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Gate Leads Spot Market Share Gains as CEX Volumes Rise for First Time in Five Months
Gate Leads Spot Market Share Gains as CEX Volumes Rise for First Time in Five Months
CEX trading volumes saw an increase for the first time in five months during June, with spot trading rising 15.3% to $1.11 trillion and RWA perpetual volumes reaching a record $311 billion.
By CoinDesk ResearchJul 13, 2026CEX trading volumes experienced a rise for the first time in five months in June, with spot trading increasing by 15.3% to $1.11 trillion and RWA perpetual volumes hitting a record $311 billion.
Why it matters:
CEX trading volumes increased for the first time in five months in June, with spot trading climbing 15.3% to $1.11 trillion and RWA perpetual volumes reaching a new high of $311 billion.
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