Hot October CPI Pushes Bitcoin Toward $73,600 and Puts a 50 Basis Point Fed Hike in Play

Consumer prices climbed 0.4% last month, above the 0.3% economists expected, though that is a cooler pace than September’s 0.6%. Core inflation, which leaves out food and energy, rose 0.3% against a forecast of 0.2%, matching its September gain. The Bureau of Labor Statistics did not publish a yearly figure, because last year’s government shutdown meant no October 2025 report was ever compiled. Inflation still sits well above the Federal Reserve’s 2% goal.

What the CPI Data Means for a December Fed Rate Hike

Markets had already fully priced a rate increase for the central bank’s December meeting, its last of the year. The stronger numbers now raise the odds of something bigger. Fed Governor Chris Waller said overnight that the Fed should hike in December even if the report came in soft, and added that a 50 basis point move could be considered if prices surprised on the upside. They did.

Bitcoin Price and Stock Futures React to Inflation

Bitcoin gave back roughly another 1% after the release and slid to about $73,610, extending its early losses. Stock futures also turned lower.