U.S. Core PCE Inflation Expected to Inch Up by 0.08% in March – Coincu

The Wall Street Journal’s chief economics correspondent Nick Timiraos predicts that the core PCE Price Index will increase by 0.08% for March 2025 in the United States.

Nick Timiraos’ forecast suggests easing inflationary pressures, hinting at potential impacts on Federal Reserve policies.

Nick Timiraos Forecasts Minimal Inflation Growth

Nick Timiraos, known as the “Fed Whisperer,” has forecasted a 0.08% rise in core PCE inflation for March 2025. His predictions use models linking CPI, PPI, and import prices to PCE. Overall, prices are anticipated to remain unchanged with a slight -0.01% adjustment. While this prediction aligns with the Federal Reserve’s longer-term views, current policy rates remain restrictive. This outlook could potentially lead to a dovish stance by the Federal Reserve, influencing future rate discussions.

Market reactions have been muted, with no significant changes in risk assets like Bitcoin and Ethereum. Federal Reserve Chair Jerome Powell has reiterated a commitment to mitigating inflation impacts, highlighting the connection to broader economic growth goals.

“Our success in delivering on these goals [maximum employment and price stability] matters to all Americans. We understand that our actions affect communities, families, and businesses across the country,” stated Jerome Powell, Federal Reserve Chair. “We at the Fed will do everything we can to achieve our maximum-employment and price-stability goals.”

Bitcoin Market Update Amid Inflation Forecast

Did you know? In past scenarios, when core PCE undershot expectations, markets showed temporary optimism, leading to rallies in assets such as Bitcoin and Ethereum, though often short-lived due to other economic factors.

Bitcoin (BTC) currently trades at $95,181.57 with a market cap of $1.89 trillion. The circulating supply is 19.86 million, nearing its max cap of 21 million. BTC’s 24-hour trading volume fell by 18.20% but gained 1.45%. Data from CoinMarketCap confirms these details as of 17:19 UTC, April 29, 2025.

The Coincu research team notes potential downward pressures on inflation may still face hurdles due to external macroeconomic factors. Historical data suggests that easing inflation influences could support risk asset growth but geopolitical and fiscal policies should be carefully monitored for future impact.