Fed’s Inflation Fight Wobbles as PCE Rises: Crypto and Bitcoin Face Policy Risks

• PCE inflation metrics rise with headline at 2.7%, core at 2.9%, and services at 3.3%.
• Federal Reserve cuts rates despite stalled inflation progress over 16 months.
• Bitcoin faces downside risk if the Fed reverses policy due to inflation resurgence.

The Federal Reserve’s preferred inflation gauge continues to climb despite the central bank’s pivot toward rate cuts. PCE inflation data shows headline inflation at 2.7%, core inflation at 2.9%, and core services inflation at 3.3% as of September 2025, according to analysis from Ecoinometrics.

Data reveals inflation has made no progress toward the Fed’s 2% target for at least 16 months. All three major PCE measures have ticked higher in recent readings, creating a challenging backdrop for monetary policy decisions.

Inflation is no longer the Fed’s top priority, but it hasn’t stopped rising.

PCE inflation (headline,…

Read The Full Article Fed’s Inflation Fight Wobbles as PCE Rises: Crypto and Bitcoin Face Policy Risks On Coin Edition.