Hot CPI Print Sends Stocks Sliding and Rate-Hike Bets Surging — Bitcoin Holds $80K!

April's inflation data came in hotter than expected on every measure, rattling equity markets and forcing a rapid repricing of Federal Reserve policy. Core CPI rose 0.4% month-over-month — double March's 0.2% pace and above the 0.3% consensus — while the year-over-year reading climbed to 2.8% from 2.6%. Headline CPI hit 3.8%, the fastest pace since May 2023, well above both March's 3.3% and the 3.7% forecast.

The data has flipped the rate narrative on its head. CME FedWatch now shows more than a 35% probability of one or more Fed rate hikes this year — a dramatic reversal from just weeks ago, when markets were debating the cadence of cuts in 2026. The Nasdaq led equity losses with a 1.3% decline.

Bitcoin is bucking the risk-off move, trading at roughly $80,500 — flat over the past 24 hours. That relative resilience stands in contrast to major altcoins: ETH and XRP are both down around…