Bitcoin and US markets react to cooling inflation data

Global financial markets showed mixed results following US inflation data. In the United States, the Producer Price Index (PPI) for July rose 4.7% annually, slightly below market expectations, while the Consumer Price Index (CPI) rose 3.4%. This cooling inflation trend has increased market expectations that the Federal Reserve may pause interest rate hikes in September. Consequently, the S&P 500 reached a new historical closing high, and the Nasdaq also strengthened, driven by gains in technology stocks.

In contrast, the cryptocurrency market experienced volatility and sideways movement. Bitcoin remained near the $63,500 level, and Ethereum hovered around $1,880. The market saw significant liquidations, with total 24-hour liquidations reaching between $176 million and $211 million. While US equities reached record highs, the crypto market showed a divergence in risk appetite.

In Taiwan, the New Taiwan Dollar strengthened significantly, at one point breaking past the 32 mark to close at 32.046. This appreciation occurred alongside broader Asian currency trends, with the Korean Won and Japanese Yen also seeing gains, while the Thai Baht saw a slight depreciation.