Inflation in the United States came in lower than expected in March, but ongoing conflict involving the US, Iran and Israelis adding uncertainty to the economic outlook.
Data from the Bureau of Labor Statistics showed that consumer prices rose 0.9% in March from the previous month, bringing annual inflation to 3.3%. While this was slightly below forecasts, it remains above the Federal Reserve’s 2% target.
Higher energy costs played a major role in the increase. The energy index jumped nearly 11% خلال the month, with gasoline prices rising more than 21%, largely due to supply concerns linked to the conflict.
The Federal Reserve considers inflation and employment when setting interest rates, and current price pressures are likely to keep policymakers cautious.
Markets are now expecting no rate cut at the upcoming April meeting of the Federal Open Market Committee, with most investors predicting rates will stay unchanged for now.
Meanwhile, Bitcoin prices rose slightly after the data release, briefly climbing above $73,000 as traders reacted to the softer inflation reading.
Despite this, uncertainty tied to geopolitical tensions and energy prices continues to weigh on the broader market outlook.
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