Global markets saw an unusual mix of signals on Sept. 10. The U.S. Treasury increased its long-dated bond buyback size to $6 billion from the previously announced $4 billion, yet the 10-year Treasury yield still climbed to 4.85%, its highest level since November 2023, while the 30-year yield moved above 5.3%. At the same time, U.S. August producer price data came in with a 0.4% month-on-month gain and 5.4% year-on-year growth, while July figures were revised higher, reinforcing expectations that inflation pressure has been rebuilding since mid-summer. Gold reacted sharply. Prices fell after the PPI release, touching $4,324.23 intraday and ending the New York session down 1.91% at $4,314.82, though the broader move was described as a V-shaped pattern. Outside the U.S., the European Central Bank raised its three key rates by 25 basis points, taking the deposit facility rate to 2.50%, and markets were also pricing about a 97% chance that the Bank of Japan would raise rates by 25 basis points to 1.25% next week. Against that backdrop, investors are now focused on the U.S. August CPI report due at 20:30 Beijing time. The article frames the release as the next major test for rate expectations, long-end Treasury yields, and the current gold narrative, which it says is increasingly tied not only to interest rates but also to concerns over U.S. fiscal credibility.

The U.S. producer price index report released on Sept. 10 reset market expectations for the Federal Reserve. Headline PPI rose 0.4% month over month and 5.4% year over year in August, while diesel prices jumped 24.1% in a single month. The Bureau of Labor Statistics said diesel alone accounted for more than one-third of the overall increase. Markets reacted quickly. CME FedWatch pricing showed the probability of a 25-basis-point Fed rate hike in September rising from 62% to about 70% after the data. The U.S. dollar index gained 0.4% intraday, stock-index futures slipped, and Treasury yields moved higher across the curve. The 30-year Treasury yield reached 5.34% to 5.37%, the highest level since 2007. The report landed on the same day Treasury Secretary Scott Bessent said the bond market was in a "very good state" after weaker-than-expected demand in a Treasury buyback operation. At a closed-door Piper Sandler event, Duquesne Capital founder Stanley Druckenmiller struck the opposite tone, saying borrowing costs were "still a little low," calling the idea that policy is already restrictive "ridiculous," and arguing that rate cuts are no longer necessary. The debate now shifts to whether energy-driven producer inflation will pass through to consumers. That makes the Sept. 11 CPI release the next key test for markets, long-end yields, the dollar, oil-linked assets, rate-sensitive tech names tied to AI capital spending, and crypto.

The United States reported August producer price data showing headline PPI up 5.4% year over year, slightly above the 5.3% market forecast. The prior annual reading was revised from 4.70% to 4.8%. On a monthly basis, August PPI came in at 0.4%, matching the 0.40% expectation, while the previous monthly figure was revised from 0.00% to 0.1%. The data point was cited by Jin10 and carried by Odaily. This is a short market update focused on the released figures and their revisions, with no additional details provided in the source beyond the reported annual rate, monthly rate, consensus expectations, and prior-value adjustments.

Bitcoin traded near $79,500 on September 7, with market focus shifting to the upcoming U.S. economic data releases for August, including the Producer Price Index (PPI) and Consumer Price Index (CPI), as well as the 10-year Treasury auction scheduled for Wednesday. These events are closely watched as they occur just before the Federal Reserve's policy meeting on September 15-16. The August nonfarm payrolls report, released earlier, showed an increase of 162,000 jobs, with the unemployment rate unchanged at 4.1%. Following the jobs data, market expectations for a September rate hike rose to approximately 58%, according to market pricing. Economists surveyed expect the August PPI to rise 0.4% month-on-month, while core PPI is forecast to increase 0.3%. These inflation figures will provide additional context for the Fed's decision-making. The crypto market is monitoring these developments for potential directional cues.

WuBlockchain’s weekly macro rundown points to a data-heavy week after several U.S. labor indicators for July came in below expectations. Revised figures showed U.S. nonfarm payrolls fell by 23,000 in July, versus expectations for an 80,000 increase, while the prior reading was revised down to a 20,000 gain from 57,000. The unemployment rate came in at 4.1%, below the 4.2% consensus and unchanged prior expectation reference in the report, while initial jobless claims for the week ended Aug. 1 were 199,000 against a 202,000 forecast. ADP employment increased by 44,000 in July, also below the 70,000 estimate. The report also noted comments from New York Fed President John Williams, who said U.S. inflation is expected to continue easing in the second half of this year and next year. For the week ahead, the key items listed were China’s July M2 money supply growth, Unitree’s subscription event, the Bank of Japan’s summary of opinions from its July monetary policy meeting, U.S. July CPI on Aug. 12, and U.S. weekly jobless claims plus July PPI on Aug. 13.

With the Fed rate decision, PPI data, and global central bank meetings this week, geopolitical tensions in the Middle East and Taiwan Strait persist. Bitcoin stands at $74,290, total market cap $2.53 trillion, awaiting direction.

Bitcoin dropped below $71,000 after US wholesale inflation came in above expectations. The move wiped out over $108 million in BTC longs in 12 hours and pushed traders to reassess the asset’s safe-haven narrative.

US April PPI surged to 6% year-on-year, with core PPI hitting 5.2% well above forecasts. Bitcoin dropped below $79,700 as rate-cut expectations are pushed out at least a year, squeezing crypto markets from both macro fronts.