Inflation

Inflation is a sustained rise in the prices of goods and services that erodes purchasing power and influences interest rates, bonds and risk assets. The boom in AI chip and data-center investment, tariffs and geopolitical risks have recently deepened concerns about price pressures. The Fed has kept interest rates unchanged, while the Bank of Korea raised its policy rate by 25 basis points. These expectations have already affected the long-term outlook for U.S. Treasuries and the price of Bitcoin, making the ripple effects of central-bank policy, funding costs and consumer prices important to watch.