Hut 8 Corp HUT shares are trading higher on Wednesday afternoon amid broader strength in crypto-related stocks, driven by a softer-than-expected May CPI report.
What Happened: The U.S. inflation rate for May came in lower than anticipated, with the annual CPI inflation rate dropping from 3.4% to 3.3%, below the economist consensus of 3.4%. On a monthly basis, the CPI inflation rate stalled, decelerating to 0.1%, below expectations.
Related Link: US Inflation Eases More Than Expected In May, Boosts 2024 Rate Cut Prospects Ahead Of Wednesday’s Fed Meeting
The core CPI, which excludes food and energy, softened to 3.4% annually, also below projections of 3.5%. This unexpected inflation cool-off has bolstered hopes for potential rate cuts by the Federal Reserve later this year.
What Else: The softer inflation figures have boosted Bitcoin prices, with the cryptocurrency seeing an uptick as traders speculate on more favorable monetary policy conditions. As of Wednesday, June 12 2024, the price of Bitcoin (BTC/USD) is approximately $69,306.94 according to Benzinga Pro.
HUT Price Action: As a result, Hut 8’s shares were up by 16.6%, trading at $11.58 in Wednesday afternoon’s session, according to Benzinga Pro.
See Also: Crypto-Linked Stocks Coinbase And MicroStrategy Are Rising Wednesday: What’s Going On?
Image: Pixabay.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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