What BTC Shrugging Off CPI Says About Current Fiscal Situation

The most significant piece of macro data this week was the CPI. Headline CPI registered at 3.5%, surpassing the anticipated 3.4%, while core CPI remained steady from last month at 3.8%, also above the expected 3.7%. This increase was largely attributed to rising costs in auto insurance and shelter. Consequently, interest rates saw a sharp rise, with the 10-year Treasury yield climbing by 20 basis points—a situation further exacerbated by a poor 10Y auction on Wednesday.