The Bureau of Economic Analysis (BEA) released its delayed Personal Income and Outlays report on January 22, publishing October and November PCE inflation data. Headline PCE was reported at 0.2% month-over-month for both months. Bitcoin's (BTC) reaction to the news was muted, trading between approximately $88,454 and $90,283, closing up about 0.16%. The BEA had to publish PCE with patched inputs due to a shutdown disrupting its calculation pipeline. The BEA filled gaps by using CPI information from prior months and seasonal adjustments. Core PCE near 2.8% year-over-year keeps inflation above the 2% target, potentially constraining rate-cut expectations. Markets are assessing whether the data is strong enough to delay easing or uncertain enough to warrant waiting for a clearer reading.

The Bureau of Economic Analysis (BEA) released its delayed Personal Income and Outlays report on January 22, publishing October and November PCE inflation data. Headline PCE was reported at 0.2% month-over-month for both months. Bitcoin's (BTC) reaction to the news was muted, trading between approximately $88,454 and $90,283, closing up about 0.16%. The BEA had to publish PCE with patched inputs due to a shutdown disrupting its calculation pipeline. The BEA filled gaps by using CPI information from prior months and seasonal adjustments. Core PCE near 2.8% year-over-year keeps inflation above the 2% target, potentially constraining rate-cut expectations. Markets are assessing whether the data is strong enough to delay easing or uncertain enough to warrant waiting for a clearer reading.