Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnSquareMore
Fed Left in the Dark as Government Shutdown Postpones Key Inflation Reports

Fed Left in the Dark as Government Shutdown Postpones Key Inflation Reports

Bitget-RWA2025/10/24 13:32
By:Bitget-RWA

- U.S. government shutdown delays critical September CPI data release to October 24, disrupting Federal Reserve policy planning and market stability. - Cryptocurrency markets react sharply: Ethereum ETFs see $145M outflows while Bitcoin ETFs show faster recovery amid heightened macroeconomic uncertainty. - Delay threatens 2026 Social Security COLA calculations and global confidence, with Canadian dollar and Japanese yen both showing negative impacts from disrupted U.S. economic governance. - Analysts warn

The postponement of crucial inflation statistics due to the U.S. government shutdown has unsettled financial markets and complicated the Federal Reserve’s policy outlook. The September Consumer Price Index (CPI) report, which was initially set for release on October 15, has been rescheduled to October 24, leaving both investors and policymakers in a state of uncertainty, as noted in a

. This rescheduling, caused by interruptions at the Bureau of Labor Statistics (BLS) during the shutdown, has intensified fluctuations in both cryptocurrency and stock markets. ETFs, for example, have seen $145 million withdrawn as traders react to the unclear macroeconomic environment, according to a .

The CPI, a central indicator of inflation, is critical for the Federal Reserve’s policy meeting scheduled for October 28-29. Projections suggest the September CPI will show a 3.1% annual increase—the highest since May 2024—according to a

. Such a result would indicate ongoing inflationary challenges, making it harder for the Fed to weigh interest rate cuts against its 2% inflation goal. While a 25-basis-point rate cut is widely expected next week, the lack of timely data may affect decisions in December, as highlighted in a .

Fed Left in the Dark as Government Shutdown Postpones Key Inflation Reports image 0

The shutdown has also interrupted the collection of October CPI figures, raising the possibility of missing data in future reports, as pointed out by MarketMinute. This has added to market anxiety, with Ethereum currently at $3,973—a 0.5% daily increase but a 9.5% decline over the month, based on Coinotag’s earlier reporting.

ETFs, while also experiencing withdrawals, have recovered more quickly, highlighting Bitcoin’s comparative resilience during market turbulence.

The ripple effects of the delayed data extend beyond Wall Street. The Social Security Administration relies on the September CPI to set the 2026 cost-of-living adjustment (COLA), which is anticipated to be about 2.7%, according to CBS News. Advocacy organizations caution that if inflation surpasses this adjustment, retirees could feel increased financial strain. Meanwhile, the Federal Reserve’s ability to manage inflation hinges on reliable data, which remains uncertain due to the ongoing shutdown, MarketMinute analysts observed.

Globally, the delay has undermined confidence in U.S. economic leadership. The Canadian dollar slipped after President Donald Trump ended trade negotiations with Canada following a contentious advertisement using Reagan’s voice, further unsettling international markets, as reported in a

. The Japanese yen also dropped to its lowest point in two weeks amid speculation that the Bank of Japan will postpone monetary policy changes, a development mentioned in the Reuters report.

What’s next? The CPI data expected on October 24 may provide some short-term answers, but the real challenge will be how the Fed navigates a prolonged lack of economic data in the coming months. If the shutdown continues, the credibility of economic policy—and investor confidence—could deteriorate further. As one analyst remarked, “Without up-to-date data, the Fed is essentially operating in the dark, which could lead to greater mistakes in an already fragile economy,” a sentiment echoed in the MarketMinute commentary.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Japan’s Declining Yen and U.S. Funding Pressures Trigger Worldwide Liquidity Crunch

- Robert Kiyosaki warns of an impending market crash amid global economic uncertainty, emphasizing Bitcoin as an inflation hedge. - Japan's fiscal stimulus and yen weakness trigger liquidity strains, disrupting global carry trades and accelerating portfolio rebalancing. - U.S. funding strains, including repo market stress and Treasury leverage, threaten dollar liquidity, limiting the Fed's policy flexibility. - Combined pressures depress stocks, crypto, and forex, but Fed intervention could stabilize marke

Bitget-RWA2025/11/29 17:08
Japan’s Declining Yen and U.S. Funding Pressures Trigger Worldwide Liquidity Crunch

Hyperliquid News Today: HYPE Token Set for December Debut Amid Rapid Sector Expansion

- HYPE Token distribution begins ahead of December launch, supported by surging crypto/trading sector growth and strategic partnerships. - Lithuanian energy firm AB Kauno Energija reports 917% profit surge, while Hydreight Technologies achieves 132% revenue growth in Q3 2025. - Blueberry partners with SailGP for global expansion, and Amber International initiates share buybacks to strengthen shareholder value amid market restructuring. - EHang advances pilotless eVTOL operations as firms across energy, cry

Bitget-RWA2025/11/29 17:08
Hyperliquid News Today: HYPE Token Set for December Debut Amid Rapid Sector Expansion

Bitcoin News Update: Stablecoin Growth and Tether Concerns: The Fragile Rebound of Cryptocurrency

- Binance's stablecoin reserves hit $185B as BTC/ETH holdings decline, signaling potential market recovery amid "dry powder" accumulation. - S&P downgrades Tether's USDT to "weak" over 5.6% BTC exposure exceeding 3.9% collateralization margin, raising peg stability risks. - UK expands CARF to 2026 for crypto tax oversight, while Binance delists GMT/ME pairs amid audit-driven compliance measures. - 81% of traders expect Fed rate cuts in December, yet Bitcoin remains bearish below key EMAs, needing $90K+ bre

Bitget-RWA2025/11/29 17:08
Bitcoin News Update: Stablecoin Growth and Tether Concerns: The Fragile Rebound of Cryptocurrency

Webster, NY Receives $9.8 Million FAST NY Grant: Driving Industrial Transformation and Boosting Real Estate Development

- New York's $9.8M FAST NY grant transforms Webster's 300-acre brownfield into a high-tech industrial hub by 2026. - Infrastructure upgrades include road realignment, sewer systems, and electrical planning to create "shovel-ready" industrial space. - Project boosts property values by 10.1% and attracts $650M private investments, creating 250+ jobs in advanced manufacturing. - Statewide, $400M FAST NY program funds 20 sites, aligning with New York's $300M POWER UP energy initiative for industrial resilience

Bitget-RWA2025/11/29 17:08
Webster, NY Receives $9.8 Million FAST NY Grant: Driving Industrial Transformation and Boosting Real Estate Development