US Inflation Cools Sharply in November, CPI Misses Forecasts

US inflation slowed more than anticipated in November, with the headline Consumer Price Index (CPI) rising 2.7% year-over-year, significantly below the expected 3.1%. Core CPI, excluding food and energy, also missed forecasts, increasing by 2.6%. This deceleration strengthens the disinflation trend and weakens the case for prolonged restrictive monetary policy, leading markets to anticipate earlier and more accommodative Federal Reserve action, possibly involving rate cuts in early 2026. Lower inflation reduces pressure on real yields and the US dollar, which typically acts as a macro tailwind for risk assets like equities and cryptocurrency. The market reaction will now depend on how quickly Fed policy expectations are repriced and the subsequent follow-through in risk assets.

(Source：BeInCrypto)