Bitcoin traded below $80,000 on Sept. 8 as Brent crude neared $100 a barrel following fresh attacks on Saudi energy facilities. The disruption complicates the inflation picture the Federal Reserve will weigh at its Sept. 15-16 meeting, even though Friday's CPI report only covers August prices.
Bitcoin stood near $78,300 on Sept. 8, down 1.52% over 24 hours, though it remained up 20% over the past 30 days. The pullback came after Brent crude touched $99.46 a barrel before trading at $98.63 around press time.
Saudi facilities halt after Houthi attacks
Operations at some Saudi energy facilities halted Tuesday following attacks by Yemen's Houthi movement, citing Saudi authorities. Spot Brent price touched $101 intraday before European trading began.
Friday's CPI won't capture the disruption
The Bureau of Labor Statistics has scheduled August's Consumer Price Index for Sept. 11, a reading that cannot reflect Tuesday's attack. September's CPI isn't due until Oct. 14, so the Fed enters its Sept. 15-16 meeting without fresh data on the new energy shock.
July's CPI rose 0.1% over the month and 3.4% over the year, with core prices up 0.2% monthly and 2.5% annually. Fed Governor Christopher Waller said continued disinflation would incline him to support holding rates, while hot August inflation could lead him to consider a hike, and he flagged renewed energy-price increases as an upside risk. He added that earlier fears of broader spillover into goods and services had not materialized so far.
August payrolls added 162,000 jobs, with unemployment at 4.1%, giving the Fed a mixed backdrop heading into its decision.
Bitcoin rebounds as oil eases
Bitcoin fell below $78,000 during the session before rebounding to $78,800 as Brent pulled back toward $97.5. Traders currently price a 58.4% chance of a Fed rate hike this month, with PPI and CPI reports due Thursday and Friday expected to shape the decision.
Friday's report will show August's prices; Tuesday's oil shock still won't be in it.
Sources: CryptoSlate, Crypto Briefing
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