Bitcoin faces a two-week Fed trap as inflation rewrite threatens to upend rate cuts

Bitcoin’s next Federal Reserve test is split across two dates.The Federal Open Market Committee will decide policy on Sept. 16 after seeing August payrolls, producer prices and consumer prices. Official August personal consumption expenditures inflation, along with a Bureau of Economic Analysis annual update that will revise the PCE series, is not scheduled until Sept. 30.Governor Christopher Waller has already put a number on one part of that pending change. He said a new method for portfolio-management services could lower 12-month PCE inflation by a few tenths of a percentage point. That was Waller’s estimate for one component, not a confirmed estimate of BEA’s total revision.For Bitcoin, the schedule creates a policy event first and a measurement reset two weeks later. Each can change rate expectations, but neither supplies a predetermined price signal.What the Fed will know on Sept. 16The Bureau of Labor Statistics schedule puts the August employment report on Sept. 4, producer price inflation on Sept. 10 and consumer price inflation on Sept. 11. The FOMC meets Sept. 15-16, with a new Summary of Economic Projections due alongside the decision.The latest official PCE reading av...