According to The Kobeissi Letter, JP Morgan estimates that a closure of the Strait of Hormuz could drive oil prices up to $120-$130 per barrel, which would likely push US CPI inflation to around 5%. The last time US inflation reached this level was in March 2023, prompting aggressive interest rate hikes by the Federal Reserve (source: The Kobeissi Letter, June 22, 2025). For crypto traders, such a spike in inflation and potential Fed tightening historically led to increased volatility in Bitcoin (BTC), Ethereum (ETH), and other digital assets, as investors react to macroeconomic stress and seek alternative stores of value.

According to André Dragosch, PhD, the deceleration in US CPI inflation provides the Federal Reserve with more flexibility to cut rates, likely contributing to Bitcoin's rally following the announcement. This development suggests potential for further market movements influenced by monetary policy adjustments.

According to @Andre_Dragosch, the latest US inflation nowcast by @truflation suggests that US CPI inflation is at 1.3% YoY. Traders should monitor the next CPI release scheduled for March 12, as it could significantly impact market movements and trading strategies.

According to The Kobeissi Letter, Bank of America projects that US CPI inflation is on track to hit 4.6% over the next six months. Recent data shows CPI inflation has averaged +0.4% month-over-month in the last three months. This trend, if sustained, could significantly impact interest rates and market sentiment, with potential effects on cryptocurrency volatility and trading strategies.

According to The Kobeissi Letter, S&P 500 futures have fallen over 1% following a rise in the US CPI inflation rate to its highest level since June 2024. This development is significant for traders as it suggests potential volatility in the equity markets and could impact trading strategies, especially those related to interest rate-sensitive sectors.