According to CoinMeta, as reported by Coinpaper, both CPI and PCE are indicators of inflation in the United States, but they are calculated differently. The official goal of the Federal Reserve is to achieve PCE inflation, not CPI, with a long-term target of 2% inflation. Although CPI usually triggers a greater market reaction because it is released earlier, allowing investors to obtain key information on consumer inflation more quickly. The latest data shows that in July, the year-on-year growth rate was 3.4%, the core CPI was 2.5%, and PCE inflation was 3.7%, while the core PCE was 3.3%. This indicates that investors should not consider these two indicators as interchangeable. CPI is typically released before PCE, and traders use the CPI data to re-evaluate interest rate expectations, Treasury yields, and the US dollar. A lower CPI report may support stocks and cryptocurrencies by reducing expectations for tightening monetary policy, whereas a higher CPI could have the opposite effect.