Inflation Rises And A Big Day For Cryptocurrencies

US index futures have dropped underwater following the release of a hotter than expected US inflation numbers. Both US consumer prices (3.4% vs street 3.2% and previous 3.1%) and Core CPI (3.9% vs street 3.8% and previous 4.0%) were worse than expected weakening the case for near term interest rate cuts. US weekly initial jobless claims (202K vs street 210K) were better than expected. Combined these indicators have weakened the case for near term interest rate cuts.

On this news the US 10-year treasury note yield has moved up to 4.05% and US index futures have turned downward with the three main contracts currently down 0.1%-0.2%. Energy action is mixed this morning with US Crude Oil up 1.8% and Natural Gas down 1.75% ahead of today’s storage report. In metals action, Gold and Copper are both up about 0.25%

Cryptocurrencies are soaring on the news that the SEC has finally approved rule changes that will enable spot Bitcoin ETFs to be launched in the US. On the news, Bitcoin is up 2.5% and Ethereum is up 7.1%.

US earnings season kicks off tomorrow with results due from JPMorgan Chase, Citibank, Wells Fargo and Bank of America, followed by regional and investment banks next week. UnitedHealth, Blackrock and Delta Airlines also report tomorrow. In addition to earnings/guidance, investors may also focus on loan loss provisions and results from trading, capital markets and wealth management in what was  a particularly strong quarter for stocks and bonds.

Terms and Conditions:


This information is for Investment Advisors only. The website is for informational purposes only and is not intended to provide a complete description of SIA Wealth Management’s products or services. Past performance is not indicative of future results. It should not be construed as investment advice or relied upon in making an investment decision. Products and services of SIA Wealth Management are only offered in jurisdictions where they may be lawfully offered for sale. The information contained in this Website does not constitute an offer or solicitation by anyone to buy or sell any investment fund or other product, service or information to anyone in any jurisdiction in which an offer or solicitation is not authorized or cannot be legally made or to any person to whom it is unlawful to make an offer of solicitation. All products and services are subject to the terms of each and every applicable agreement. It is important to note that not all products, services and information are available in all jurisdictions outside Canada.

SIA Wealth Management Inc. (SIAWM) specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investor’s investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, Advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIA Wealth Management Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.